Egypt’s main index slides, pound stable

Egypt’s main EGX30 index closed down 0.44 percent on Monday, bucking an upward trend seen in the previous five sessions.

Overall market capitalization fell to LE362.3 billion, as the benchmark index reached 5,448 points after a sharp drop in midday trading erased gains made after a slight surge when the market opened.

Stocks in the real estate and financial services sectors were hit hardest, down 24 percent and 22 percent, respectively. Egyptian institutions were net buyers as foreign and Arab investors mostly sold off their stocks.

Investors could be seen taking in profits after they had bought into stocks and helped push the market upward in the past days. 

On Sunday, the exchange continued its five-session uptrend, which saw it rise 2.7 percent since August 19.

Meanwhile, the pound stabilized against the US dollar, which sold at LE7.01 with a buying price of LE6.98, with no change from Sunday to Monday, reported state-run newspaper Al-Ahram. 

The euro stayed at LE9.40 to buy and LE9.60 to sell.

Hamdy Abbas, manager of a currency exchange office, told Al-Ahram that there was low demand for dollars and higher demand for the euro and the Saudi riyal.