Egyptian Exchange indices rise in week despite year-end corrections

Muhammed Khalid , Thursday 28 Dec 2023

In a dynamic close to the year, the Egyptian stock market showcased resilience as key indices, including EGX30, EGX70, and EGX100, saw significant growth.

EGX trading hall. Ahram Gate.
EGX trading hall. Ahram Gate.


Despite year-end corrections, the market's performance remained robust, reflecting institutional and individual investor dynamics. 

Financial market expert Hanin El-Mahdy, speaking to |Ahram Online, shed light on the week's fluctuations, highlighting the influence of leading stocks like CIB and MFPC.

The EGX30, the primary index, experienced a notable rise of 1.59 percent, concluding the week at 24,691 points. Similarly, the EGX70, which measures small and mid-cap stocks, grew by 1.37 percent, closing at 5,463 points. 

The broader EGX100 index also saw a positive trend, adding 1.16 percent to finish the week at 7,854 points.

Throughout the week, market capitalization declined by EGP 72 billion, reaching EGP 1,594 billion from its previous standing at EGP 1,666 billion. 

Discussing the week's performance, El-Mahdy said, "As this is the final week in December and institutions needed to reconcile yearly and monthly accounts, the EGX30 experienced corrections on two days. However, individual investors maintained the index's stability, holding significant purchasing power during this period."

She noted, however, that the two leading stocks, CIB and MFPC, notably influenced the EGX30 this week. 

"While CIB has historically been a major driver of the index, following the news about MFPC's merger with another company and subsequent capital increase, it became evident that MFPC would take the lead and dictate the index's movement," El-Mahdy explained. 

Furthermore, she said the remarkable growth rate of the EGX30 to 65 percent marks one of the Egyptian stock market's most successful years. 

She also noted that many investors have reaped significant profits and anticipated a promising start to January for the local and global stock markets. 

Moreover, El-Mahdy pointed out that Egyptians are becoming increasingly convinced that various assets, such as gold and stocks, can generate profits, thus branching out beyond traditional bank certificates.

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