CAIRO: Egypt s main index ended 0.5 percent down in low volumes, with Orascom Telecom (OT) dipping to a seven-week trough after more than 3 billion newly issued shares begin trading.
OT lost 4.2 percent and Orascom Construction (OCI), the index s biggest firm by market cap, dipped 0.3 percent.
Citigroup downgraded the construction firm to hold from buy and cut its share price target, while Credit Suisse highlighted its positive view of OCI and Sewedy Cables in a report backing construction-related stocks in the Middle East and North Africa.
Sewedy ended down 1.5 percent, while other building firms and related stocks also fell. Talaat Moustafa slipped 1.2 percent and Ezz Steel shed 1.4 percent.
Oriental Weavers’ shareholders approved a cash and share dividend and share split, prompting the bourse to suspend trading pending confirmation.]
What s worrying me is the low volumes, said Hashem Ghoneim from Pyramids Capital. The positive thing is that foreigners have been net buyers for quite a few days now.
Only seven of the 30 index constituents ended in positive territory. Builder SODIC was the biggest gainer, up 5.7 percent, while Commercial International Bank had the biggest positive effect on the index, gaining 0.9 percent.
Mobinil added 1.8 percent and investment bank EFG-Hermes gained 0.4 percent.
The market is in a weird mood it needs to snap out of, Ghoneim said. We need some positive news to encourage the market. -Reuters