Egypt's stocks gained on Wednesday following a report by international credit agency Moody's which upgraded the banking system outlook to stable from negative.
Benchmark index, EGX30, increased 2.55 percent to register 7,882 points and daily stock turnover reached LE496 million.
“We expect that Egypt’s banking system will benefit from improved operating conditions, resulting in rising consumer confidence and business investments, which in turn will support loan growth and asset quality,” Melina Skouridou, CFA Moody’s lead analyst for Egyptian banks, said in a press release on Wednesday.
Egypt's main index, which lost around 9.7 percent of its value in the month leading to 14 July, began a slow rebound last Thursday.
Foreign and Arab investors were net buyers on Wednesday to the tune of LE32.4 million.
Market bellwether, Commercial International Bank (CIB), gained 2.25 percent to LE54.48 per share to achieve the highest turnover in the session at LE52.6 million.
Carpets maker, Oriental weavers, was the biggest gainer in the main index, climbing 8.1 percent to LE10.84 per share. Financial services, Pioneers Holding and Amer Group Holding followed with gains of 5.75 percent to LE8.19 per share and 5.26 percent to LE1.04 per share respectively.