EGX30 to firm above 10,600 points

By Ahmed Kamel

 

Foreign selloffs are expected to continue this week ahead of Eid al-Adha, the Muslim feast of sacrifice. The main index EGX30 is expected to firm above 10,600 points as local retailers buy into small shares and midcaps.

In the medium term, a sideways trend may continue this month. Moreover, volatility will persist as this forecast sideways trend may take a broader impact in the coming months.

The benchmark index EGX30 added 0.18 per cent to 10,459 points. The broader indices EGX70 EWI and EGX100 EWI jumped 4.8 and 3.8 per cent to 1,494 and 2,287 points respectively.

Volume rose to LE8.5 billion last week, up from LE7.4 billion the previous week. The market capitalization added LE1.6 billion, or 0.29 per cent, to LE576.5 billion, market data showed.

Shares in the country’s heavyweight blue chip, Commercial International Bank (CIB), topped last week’s trades accounting for 13.6 per cent. CIB’s trades totaled LE640.6 million, market data showed.

Arab Cotton Ginning ranked second with trades worth LE260 million, or 6.6 per cent.   

Locals, Arabs and non-Arabs accounted for 73, 6 and 21 per cent of trades respectively, bourse data showed.

Excluding deals, Arabs were net buyers of LE5.5 million. Non-Arab investors were net sellers of LE261 million.