Market report: Blue chips drags EGX 30 down 0.3 per cent

Ahram Online, Sunday 26 Dec 2010

Egypt’s benchmark index EGX 30 ended first day of trading week on a red note under the weight of its heavy- weighted stocks

Market report

Leading stocks ended in the red today causing Egypt’s benchmark index EGX 30 to fall 0.3 per cent, to 6929 points.

Orascom Construction Industries (OCI), the biggest listed company in the market, lost 0.18 per cent, while Orascom Telecom Holding lost 0.46 per cent, EFG-Hermes 0.42 per cent and Commercial International Bank (CIB) 0.18 per cent.

Most of these shares are traded by foreign investors, who were absent from the market today. Double listing in the UK market did not save these stocks. The UK market ended today on 30 month high.

Foreign investors withdrew from the market on Sunday, because of the Christmas holiday. Their trading share shrank to2.6 per cent, from an average of 18 per cent.

“Maybe foreign investors are becoming more tempted by U.S. stocks,” argues Malik Sultan, Investment Manager of Dar Al-Mal Holding says.

Overall, total turnover was at its average holiday level of LE 678.5 million.

Nationals dominated 93.9 per cent of total trading.

Retail investors, who tended to sell, while institutional traders, which dominated two thirds of trading, saved the market from a big drop as they are net buyers.

For tracking stock movement, Suez Canal Bank Egyptian was the top upward mover, soaring by 8.6 per cent, to LE9.8. It was followed by Nasr Company for Civil Works, which surged up 4.8 per cent, reaching LE45.5.

Nasr Co. for Civil Works announced Sunday its third quarter results, of LE7.21 million, compared with LE6.08 million in the same period last year.

The company carried out 30% of the wastewater project in Kom Abu Radi, Bani Suef. The venture, which costs approx. LE59.47 million, is scheduled for completion in two years.

At the other end, Gezira Hotels &Tourism was the biggest drag on the overall index, plunging 11. 9 per cent, to LE23.6. It was followed by Cairo Development and Investment, which dropped by 6 per cent, down to LE43.3.

All sectors turned red today, expect for Healthcare and Pharmaceuticals and Real Estate. Financial Services Excluding Banks was the most active, dominating 19 per cent, or over LE40.7 million. The sector was followed by Real Estate, which controlled 18.9 per cent, or over LE39.1 million.

The EGX 70 for small and medium business closed on a red note today, declining by 0.59 per cent, to reach 725 points.

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