CAIRO: Egypt's bourse snapped a three-day rally this week, as mild positive sentiment was offset by worries that the global economy was still heading towards a recession. Overall, Egypt's benchmark CASE 30 Index shed 3.68 percent to end the week at 4,716.25 points. The index tumbled Sunday 6.79 percent to 4,564.18 points, as a global stock sell-off dragged most blue-chips. The market posted one of the lowest daily turnovers seen in years at LE 496 million ($88.7 million). Shares of EFG-Hermes - Egypt s largest investment bank - were hammered by fears of a deepening global recession and plummeted 7.68 percent to LE 22.01, their lowest level in three years. EFG-Hermes - down about 70 percent this year - is trading at 5.54 times estimated 2008 earnings, compared to a global investment banking average of 11.70, according to Reuters data. Big cap Commercial International Bank (CIB), Egypt s largest lender by market value, plunged 10.45 percent to LE 27 per share. Market heavyweight Orascom Construction Industries (OCI) shed 5.62 percent to LE 199. Shares of Talaat Moustafa Group (TMG), Egypt s largest real estate developer by market value, lost 6.1 percent to LE 3.23, hitting a year low. Tampering market anger were shares of regional mobile operator Orascom Telecom (OT), the session s most heavily traded share by turnover, which rose 3.21 percent to LE 29.25. The market snapped its weeks-long losing streak on Monday, boosted by some positive sentiment on telecoms after OT sealed a deal with Nokia. The index climbed 1.23 percent to 4,620.31 points on a turnover of LE 669.2 million ($119.5 million). Telecom stocks recorded the session s greenest performance, with OT jumping 6.35 percent to LE 29.97. Cellphone operator Nokia has signed up OT as a customer for its internet services, the firms said in a joint statement. Shares in fixed-line monopoly Telecom Egypt (TE) also gained 10.94 percent to LE 13.59, while MobiNil surged 9.95 percent to LE 110. Shares of real estate giant TMG leapt 10.06 percent to LE 3.50. The firm, dogged by the ongoing murder trial of its former chairman, said on Sunday it expects net profit to grow at least 30 percent in 2008 on residential sales and announced net profit of LE 1.34 billion in the first nine months of 2008. Bucking the trend were shares in OCI, which extended losses after hitting a year low on Sunday. The stock, the session s most heavily traded share by turnover, edged 0.65 percent down at LE 198.99. Investment bank EFG-Hermes also closed in the red, losing 3.53 percent to LE 20.25 while CIB fell 1.85 percent to LE 27. Egyptian stocks surged across the board on Tuesday, mirroring Asian and European markets. The index jumped 5.17 percent to 4,859.32 points on a slightly improved turnover of LE 780.6 million ($139.5 million). Index mainstay OCI - the most traded stock by value - rose 3.35 percent to LE 205.20. Sister company OT gained 4.6 percent to LE 30.81. Both stocks constitute 50 percent of trading on the index. MobiNil climbed 4.6 percent to LE108.92. Egyptian shares moved in line with European and Asian stock markets, which rebounded after several days of steep declines as investors snapped up beaten down shares. Brokers said on Tuesday that after several weeks of disengagement from the Egyptian market, local and foreign institutions were buying into major companies, restoring confidence among Egyptian retail investors. Shares of regional investment bank EFG-Hermes advanced 6 percent to LE 22.17, while CIB increased 2.5 percent to LE 27.99 per share. Real estate developer TMG saw its shares gain 6.47 percent to LE 3.62. Telecom Egypt - which reports its third-quarter results on Nov. 13 - jumped 6.23 percent to LE 13.82, its highest level since Oct. 7. The market moved up a hair on Wednesday, tracking Gulf and global markets, as widespread fear of a global economic downturn overshadowed earlier gains. The index first traded as high as 5,087.2 points in morning sessions before closing up only 0.57 percent at 4,887.06 points. Trading turnover amounted to LE 778.1 million ($139.2 million). Heavily weighted OCI fell 6.4 percent to LE 192.02 after opening positively. Traders explained falls in fertilizer prices weighed on the stock, while the firm s construction output would be hard hit in the event of a regional downswing. The stock movement bar glittered a mix of green and red colors. Shares of investment bank EFG-Hermes climbed 2.6 percent to LE 22.74, while CIB shed 0.3 percent to LE 27.91 per share. Telecom giant OT gained 0.09 percent to LE 32.14. Company Chairman Naguib Sawiris told reporters on Wednesday the company is not interested in a stake in Telekom Austria. Shares of TMG lost 2.75 percent to LE 3.54 and TE stumbled 4.6 percent to LE 13.48. The market gave up Thursday its early gains as fears grew about the depth and length of the recession in the US and Europe. The index plunged 3.50 percent to 4,716.25 points. Shares of OCI posted their sharpest single-day fall in three weeks on Thursday. The stock, Egypt's largest builder by market value, tumbled 9.35 percent to LE 184.99. Telecom Egypt, Egypt's fixed-line monopoly, shed 4.8 percent to LE 13.50, its first drop in four sessions. The stock had risen 17 percent in the three sessions to Wednesday. Shares of EFG-Hermes bucked the trend, climbing 9.5 percent to LE 24.90, as investors were likely betting the share price was too low given earnings expectations.
