Egypt stocks slip 0.31% as Sinai hostage crisis lingers

Ahram Online, Monday 20 May 2013

Stocks fell on Monday as investors became increasingly nervous about government's lack of resolve in dealing with kidnapped soldiers in Sinai Peninsula

stock exchange
The Egyptian Exchange bell is seen at the stock exchange in Cairo (Photo: Reuters)

Egypt's main stock index slid 0.31 percent on Monday to sit at 5,432.15 points, as a North Sinai hostage crisis entered its fifth day.

A total of 108 stocks fell on Monday, as nervous Egyptian and Arab investors net sold a combined LE6.38 million worth of shares.

"The continued lack of resolution to the hostage situation in Sinai has made investors nervous," Ashraf Abdel-Aziz, head of institutional sales at Cairo-based Arabia Online Securities, told Ahram Online.

Seven Egyptian security officers were kidnapped by Islamist militants in the north of Egypt's Sinai Peninsula on Thursday, sparking a hostage crisis which has captivated the nation and exposed the authorities' indecisiveness.

Orascom Construction Industries dropped 0.49 percent, Orascom Telecom Holding 0.63 percent, and Orascom Telecom Media and Technology Holding 2 percent.

Real estate sector blue chips Palm Hills Development Company and TMG Holding also fell by 1.69 percent and 0.24 percent respectively. Six of October Development & Investment (SODIC) however, rose 0.77 percent.

Egyptian Financial Group-Hermes Holding Company dropped 1.35 percent.

Turnover picked up relatively on Monday, to register LE241.8 million.

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