By: Heba El-Kordy
Cairo – Mubasher: The Egyptian Exchange (EGX) is likely to rise on Sunday on the back of the recent positive national economy’s news, including halting natural gas imports and keeping the interest rate unchanged.
On Saturday, the Egyptian petroleum minister decided to halt liquefied natural gas (LNG) imports.
On Thursday, the Central Bank of Egypt (CBE) decided to maintain its key overnight rates for deposit rate and lending at 16.75% and 17.75%, respectively.
Safwat Abdel Naeem, branch manager at Mubasher Financial Services (MFS), expected the EGX to perform positively during Sunday’s trading session.
The CBE’s interest-rate decision will boost the Egyptian stock market to test 14,800 points, Abdel Naeem said, pointing out that the EGX30 index may target 15,200 points consequently.
He also noted that the local market may see a wave of profit-taking at 14,800 points if the manager of investment funds maintained the negative attitude amid investor optimism.
For his part, head of technical analysis at Arab Finance Securities Osama Naguib projected that the EGX30 index will carry on facing sell-offs today.
Naguib highlighted that the index has resistance at 14,500 and 14,850 points, noting that it may see selling pressures at this level.
The EGX30 still has support at 13,700 and 13,500 points due to weak purchasing power, he indicated.
Translated by: Mai Ezz El-Din
