Locals to lift Egypt’s stock after rate cut

 

Locals to lift Egypt’s stock after rate cut

Egypt’s stocks may get a boost this week from the Central Bank of Egypt’s recent rate cut. The CBE’s Monetary Policy Committee cut the overnight interest rates by 0.5 per cent last week.

The main index may test 11,200 points on a local retail bullish sentiment.

The benchmark index EGX30 fell by 1.26 per cent to 10,911 points. However, the broader indices EGX70 EWI and EGX100 EWI jumped 3.35 and 2.15 per cent to 2,000 and 2,885 points respectively.

Volume fell to LE10.1 billion last week, down from LE17 billion the previous week. The market capitalization shed LE200 million to LE616.7 billion.

Excluding deals, Arabs were net buyers of LE77.9 million. Non-Arab investors were net sellers of LE255 million last week.