Egypt, Norway's Scatec explore deeper cooperation in renewable energy    Emergency summit in Doha as Gaza toll rises, Israel targets Qatar    Egypt's EDA, Korean pharma firms explore investment opportunities    CBE, banks to launch card tokenization on Android mobile apps    CIB completes EGP 2.3bn securitization for GlobalCorp in seventh issuance    Ex-IDF chief says Gaza war casualties exceed 200,000, legal advice 'never a constraint'    Right-wing figures blame 'the Left' for Kirk killing, some urge ban on Democratic Party    Egypt's FM heads to Doha for talks on Israel escalation    Egypt's Sisi ratifies €103.5m financial cooperation deal with Germany    Egypt strengthens inter-ministerial cooperation to upgrade healthcare sector    Egyptian government charts new policies to advance human development    Egypt advances plans to upgrade historic Cairo with Azbakeya, Ataba projects    Egyptian pound ends week lower against US dollar – CBE    Egypt expresses condolences to Sudan after deadly Darfur landslides    Egypt hosts G20 meeting for 1st time outside member states    Lebanese Prime Minister visits Egypt's Grand Egyptian Museum    Egypt to tighten waste rules, cut rice straw fees to curb pollution    Egypt seeks Indian expertise to boost pharmaceutical industry    Egypt prepares unified stance ahead of COP30 in Brazil    Egypt recovers collection of ancient artefacts from Netherlands    Egypt harvests 315,000 cubic metres of rainwater in Sinai as part of flash flood protection measures    Egyptian, Ugandan Presidents open business forum to boost trade    Al-Sisi says any party thinking Egypt will neglect water rights is 'completely mistaken'    Egypt's Sisi, Uganda's Museveni discuss boosting ties    Egypt, Huawei explore healthcare digital transformation cooperation    Foreign, housing ministers discuss Egypt's role in African development push    Greco-Roman rock-cut tombs unearthed in Egypt's Aswan    Egypt reveals heritage e-training portal    Sisi launches new support initiative for families of war, terrorism victims    Egypt expands e-ticketing to 110 heritage sites, adds self-service kiosks at Saqqara    Palm Hills Squash Open debuts with 48 international stars, $250,000 prize pool    On Sport to broadcast Pan Arab Golf Championship for Juniors and Ladies in Egypt    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Germany among EU's priciest labour markets – official data    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Egypt sinks to 12-month low as margin calls weigh
Published in Ahram Online on 08 - 10 - 2018

Egypt's blue-chip stock index plunged 3.6 percent on Monday to its lowest level in 12 months, dragged down by weakness in emerging markets and margin calls among local investors, while banking shares boosted Saudi Arabia.
Twenty-nine of 30 stocks in the Egyptian index .EGX30 fell. It has fallen 15 percent since the end of August, leaving it down 9.4 percent year-to-date. The broader EGX100 index .EGX100 fared better on Monday, losing only 1.9 percent.
Egypt's market far underperformed the MSCI index of emerging market stocks .MSCIEF, which was down nearly 1 percent. Among big blue-chip losers were tobacco firm Eastern Co , down 4.9 percent.
Exchange data showed Monday's selling was heavily concentrated among local investors, who were hit by margin calls. Non-Arab foreign investors were net buyers by a considerable margin, the data showed.
"It is a mixture of both emerging market weakness and margin trading, and the closure of some margin trades," said Radwa El-Swaify, head of research at Pharos Holding said.
Turmoil in emerging markets has fuelled concern about possible capital outflows from Egypt and depreciation of the pound currency. But many foreign fund managers say they remain long-term positive on the market because of an improving underlying economy.
Khaled Abdel Majeed, managing partner at London-based asset manager MENA Capital, said Monday's drop was due to a combination of profit-taking and emerging market weakness, but he was confident the slide would not continue.
Memphis Pharmaceuticals shed 9.5 percent after its first-quarter loss widened year on year.
In Saudi Arabia, the index .TASI rose 0.6 percent with Al Rajhi Bank 1120.SE up 1.6 percent and Samba Financial Group 1090.SE gaining 1.6 percent.
Telecommunications firm Mobily 7020.SE fell 2.3 percent after saying the regulator had ordered it to suspend sales of some products to new customers because it had failed to hire enough Saudi citizens at the top of the company.
United Electronics Co 4003.SE was up 2.0 percent after reporting a quarterly net profit of 30.9 million riyals ($8.2 million), up from 26.1 million riyals last year, while revenues also climbed.
The Gulf's largest dairy company, Almarai Co 2280.SE, dropped 2.9 percent after reporting a fall in third-quarter profit on Sunday.
Advanced Petrochemical 2330.SE extended losses, falling 2.1 percent after reporting a slight fall in quarterly net income, also on Sunday.
Dubai's index .DFMGI closed 0.6 percent lower after bank stocks reversed early gains. Emirates NBD fell 1.6 percent.
Al Ramz Corp plunged 6.1 percent after saying it had divested its 17.8 percent stake in insurer Takaful Emirates having achieved its targeted return.


Clic here to read the story from its source.