CAIRO: Egypt's Stock Market saw its sharpest drop in more than a week as protests at the Israeli Embassy in Cairo continued for a third consecutive day following a deadly shoot-out that saw five Egyptian soldiers and policemen killed by Israeli defense forces on Thursday. According to statistics coming out of the markets on Sunday, Orascom Telecom – the largest mobile company in North Africa – saw a 2.4 percent fallout, while al-Arafa Investments & Consulting, a company which uses Israeli products, dropped 3.4 percent, the biggest intraday decline since August 9. Bloomberg news agency reported that the index had dropped 3.4 percent through the morning trading session. “This drop is clearly due to the political tensions in Sinai,” said Tamer Nigm, head of sales and trading at Cairo-based Watheeqa Securities Brokearage. “There are fears that the situation may escalate.” Israel on Saturday said that it “regrets” the deaths of Egyptian soldiers and policemen along the Gaza border in the Sinai peninsula. The statement from Israel's Defense Minister Ehud Barak came after the Egyptian government recalled its ambassador from Tel Aviv over the violence, which has seen massive protests erupt at the Israeli Embassy in Egypt. Barak, however, did not confirm that Israeli troops had killed the five soldiers and policemen, but did say that there would be a joint inquiry into the incident with the Egyptian military. The statement comes as Egyptians continued to protest at the embassy in Giza on Saturday. The protest was sparked by the death of five Egyptian soldiers that many believe were killed by Israeli armed forces in a gun battle between Israeli forces and Egyptian masked gunmen. Many Egyptians began chanting “God is great” and calling on the government to take a firmer stance against the Jewish state. There was euphoric cheering when an Egyptian man scaled a building across the street and planted a flag at the top of the fire escape. The general call remained the same throughout the day and into the night: Israel must pay. Other chants included, “give us guns, send us to Sinai.” The crowd was comprised of men and women, young and old. Many had taken their children, some as young as two-years-old. One Egyptian father told Bikyamasr.com he brought his child, a five-year-old girl with the Egyptian flag painted on her cheeks and a smile plastered on her face, because “the children need to see this. See what is happening. This fight is their fight too.” There was some kind of scuffle late in the evening, as a soldier was seen being dragged out of the front lines by four other soldiers unconscious, although it is unclear what happened. Protesters had managed to storm the barricades, tearing down the massive concrete pillars and inching ever closer to the entrance of the building. At least 12 to 15 armored personnel carriers could be seen in the area; four on the roads surrounding the building and another four or five covering the entrance to the complex itself, with many more scattered along the different entrances. Meanwhile, from within the apartment complexes in and around the embassy building, families and individuals could be seen huddled around the window looking down. The building itself was effectively been cordoned off and hundreds of protesters were still situated there Saturday morning. The Egyptian Prime Minister released a statement demanding an apology from Israel and on his Facebook page he commented on the situation saying that “what was tolerated in pre-evolution Egypt will not be in post revolution Egypt.” The Cabinet then, early Saturday morning, issued a statement saying they had expelled the Israeli ambassador over the incident, but then quickly backtracked and said the statement was a “mistake.” Either way, the anger directed at Israel is growing and Egyptians have found another outlet for their growing anger at the military junta. An Egyptian man, being dubbed “Flagman,” early Sunday morning scaled the side of the building that houses the embassy and took down the Israeli flag, replacing it with an Egyptian one. ** Luiz Sanchez contributed to this report. BM
