Market nosedives, trading climate grim

The Egyptian Stock Exchange lost LE10.9 billion following news of deadly clashes at the Republican Guards headquarters on Monday morning, which left more than 50 people dead and hundreds injured.

At the day’s close, overall market capitalization tumbled to LE343.3 billion as the main EGX 30 index fell by 3.55 percent to 5,123 points.

The broader EGX 70 index slipped by 5.32 percent, while the EGX 100 fell by 4 percent.

Individual Egyptian investors were the main market movers today and were net buyers at a value of LE41.0 billion, while Arab and foreign investors were net sellers. Institutions traded at an overall lesser volume.

According to state-run daily Al-Ahram, the Central Bank of Egypt (CBE) said that the dollar fell against the Egyptian pound on Monday, selling at LE7.0297. The value of the pound to the dollar on the black market slid from LE7.18 to LE7.25.

On a visit to Abu Dhabi, CBE Governor Hesham Ramez said the United Arab Emirates had agreed to provide financial assistance and aid to Egypt in a package totaling around US$3 billion.

Market officials set new hours for the stock exchange to take effect when Ramadan begins this week, which will have trading close at 1:30 pm. The CBE has also set shortened banking hours for Ramadan, from 9 am to 2 pm.