Cairo – Mubasher: The Egyptian Exchange (EGX) indices tumbled on Thursday, as the benchmark index EGX30 declined 5.6% or 347.53 points closing at 5,857.7 points, to hit its lowest level in more than three years.
Today’s market declines came on pressures stemmed from local institutions sell-off.
The Egyptian Exchange halted the trading session , two minutes before the end of the end of the session, after the broader index EGX100 dropped 5%.
“Egypt’s bourse severe declines on Thursday were mainly fueled by the losses of both the global and the Gulf markets on the increasing concerns over the slowdown of the world economic growth,” said Sameh Gharib, head of technical research, Roots Securities.
The benchmark currently stands near the support zone of 5,700 and 5,800 points, which it will mostly test on Sunday’s session, noted Sameh, adding that the main gauge will see resistance at the level of 6,300 points.
The benchmark returned back to adopt downside trend on both the short – run and the medium –run.
The equal-weighted index EGX50 lost 6.08% to 1,030.15 points.
Similarly, the small and mid-cap index EGX70 declined 6.12% to 336.41 points, while the broader index EGX100 went down 5.02% to 694.6 points.
The market capitalisation shed EGP 17.72 billion ($2.3 billion) reaching EGP 384.03 billion.
Thursday’s market turnover reached EGP 1.37 billion, with 291 million shares changed hands carried out through 20,600 transactions.
Foreign and Arab investors stepped in as net buyers with EGP 6.7 million and EGP 33.3 million respectively while local investors came out as net sellers with EGP 40 million.
Institutions came as net sellers, especially the local ones, while retail traders were net buyers.
Out of the 177 companies traded today, decliners outnumbered advancers by 155 to 3, while 19 others remained unchanged.
