CAIRO: Egypt s main stock index ended 1.9 percent lower on Tuesday to hit a fresh year low, but a late session recovery by heavyweight Orascom Construction Industries (OCI) trimmed market declines, dealers said.
It s just selling pressure from Egyptians, said Amr Saber of Prime Securities, adding that big caps were declining in line with drops in the GDR market. Mainly, OCI got affected by the GDRs.
The CASE 30 index climbed back from a 4.5 percent early-session drop to end 1.89 percent down at 3,510.98 points. Shares in big cap OCI shed 0.69 percent to LE 103.02 ($18.53), well above a low of LE 98.51 hit early in the day.
Overall, the Hermes index lost 1.3 percent to 342.31 points and the broader CIBC index dipped 0.52 percent to 249.4 points.
Dealers attributed the OCI recovery to a turnaround in the GDR market that saw the London-traded shares climb to $36.50 by 1338 GMT after closing at $35.10 on Monday.
Shares in fellow heavyweight Orascom Telecom tumbled 4.02 percent to LE 19.59. The stock exchange said on Sunday the firm had not bought any of the roughly 23 million shares it was seeking in a buyback program.
The firm said on Tuesday it did not rule out a revived share buyback program, and that excess cash could be allocated for dividends, buybacks or in debt reduction in the future.
Shares in Ghabbour Auto shed 6.41 percent to end at LE 10.95 after HC Securities resumed coverage of Ghabbour with a hold rating and said it was cautious on the stock due to rapid downturn in passenger car sales and market uncertainty.
The brokerage forecast a 23 percent year-on-year decline in Ghabbour s 2009 net income and a 14 percent decline in the company s net sales for the period.
On the upside, mobile operator Mobinil added 1.07 percent to LE 132. Investment bank EFG-Hermes said on Tuesday it was keeping its short- and long-term buy rating on the firm, and kept its long-term fair value at LE 217.7.