Stock market drops 0.33%

Amr El Feki, Wednesday 1 Dec 2010

The EGX 30 dropped slightly by 0.33 per cent to 6683 points today, mostly the result of the poor performance of Orascom Telecom and Orascom Construction Industries

Stock Market 1
EGX 30, the main stock market index declined by 0.33 per cent.

The EGX 30 dropped slightly by 0.33%, ending the day at 6682 points, "with the bulk of the selling pressure headed by foreign institutions” says Omar Darwish, equity sales trader at CI Capital Holding. Volumes remain at average levels, however, slightly lower than yesterday's heavy volumes and sharp decline, adds Darwish. Trading value reached LE368 million, with 85 shares declining and 80 rising.

Today's selling pressure was led by heavyweights Orascom Construction and Orascom Telecom, following their poor performance in GDRs yesterday evening. Vimpelcom's meeting to determine OT's fate was delayed until Jan 2011, "leaving a negative sentiment among investors," says Darwish.

All sectors closed in the red except for Healthcare and Pharmaceuticals, Food and Beverage, Personal and Household Products, as well as Real Estate and Banks. The construction and real estate sector was one of the main sectors to experience a drop, along with banks and financial services.

NSGB fell 1% after rising 7% yesterday. NSGB was added to Egypt's MSCI index yesterday and profit making seems inevitable. On the other hand, this year's strongest Big Cap Commercial Iinternational Bank rose a minor 0.34% to reach the LE41.65 mark.

Amer Group followed the generally weak trends and dropped 2.4% in its second trading day.

Individuals represented 63.26% of trading, while institutions represented 36.73%.

The top gainers were Egyptian Housing Development and Reconstruction, Development and Engineering Consultants and National Housing for Professional Syndicates, while top losers were Golden Pyramids Plaza and El Shams Housing and Urbanization.

In an opposite trend, the EGX70 rose by a meager 0.44%, reaching 734 points with a trading value of LE285 million. The EGX 70 accounted for 11.96% of total market capitalization with a value of LE53.4 billion.



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