File photo: Traders work at the Egyptian Stock Exchange in Cairo August 11, 2011 (Photo: Reuters)
Egypt's benchmark EGX30 index tumbled close to 3.4 percent on Thursday to reach 8,593 points as the market witnessed an aggressive sell-off at the end of the trading week.
"This is completely correlated to global and regional markets, affected by global growth worries and falling oil prices,” said Mohamed Radwan, head of equities at Pharos Holding. Radwan added that this led to an “aggressive sell-off across the board in Egypt."
Egyptian investors were net-sellers, of LE73.9 million worth of shares. Foreigners and Arabs were net-buyers as bargain hunters took advantage of low prices after the benchmark index saw a 10 percent drop in the past week, said Radwan.
Total turnover rose to LE819 million as market bellwether Commercial International Bank recorded a turnover of LE130 million, which fell 1.98 percent to close at LE45.48.
EFG-Hermes saw its share price plunge 4.75 percent to LE15.25.
Property share Palm Hills Development Company was down 4.08 percent to LE3.76, TMG Holding fell 5.09 percent to LE9.50. Six of October Development and Investment (SODIC) plunged 7.41 percent to LE14.38.
Steel maker Ezz Steel fell 4.33 percent after it had rallied on the back of new steel import tariffs in the past few sessions.
According to Radwan, Egyptian stocks will not see a rebound until "the U.S. recovers from its free-fall."
US stocks kept tumbling on Thursday as the benchmark S&P 500 index closed at its lowest in six months.
Gulf Markets also kept sliding, as Abu Dhabi shares dropped 0.24 percent, Dubai 1.73 percent, Kuwait 0.52 percent and Saudi stocks tumbled 2.69 percent.
The broader EGX70 fell 4.66 percent.