CAIRO: The index sank Sunday 4.38 percent to 3,643.34 points - its lowest level since February 2005 - as the market resumed reeling on economic woes. Trading volume was a very low LE 395.5 million ($71.3 million). Shares of Ghabbour Auto - Egypt s largest carmaker by market value - were among the biggest losers. The stock posted on Sunday their second largest daily decline in two months on fears profits could slow. The company, which said last year its profit growth could ease as Egypt s economy weakens, saw its shares tumble 6.14 percent to LE 13. The firm said in November it would not likely continue to match the 88 percent growth in net profit it posted in the third quarter as a worsening economy hits car sales. Big caps also closed in the red. Shares of Orascom Construction Industries (OCI), Egypt s largest builder by market value, lost 5.42 percent to LE 101.40, while regional telecom giant Orascom Telecom (OT) plummeted 8.53 percent to LE 21.23. Commercial International Bank (CIB) - Egypt's largest listed lender - fell 3.5 percent to LE 31.66 per share. The index ended its two-week losing streak on Monday after foreign investors grabbed shares of OCI which fell to attractive trading levels. The index rose 0.72 percent to 3,669.73 points on a turnover of LE 442.5 million ($79.6 million). Shares in OCI surged 5.94 percent to LE 106 after plunging 28.7 percent in the year to Sunday s close. Sister company OT, the largest Arab mobile phone operator by subscribers, rose 1.52 percent to LE 21.97 a share, as foreign appetite for large caps grew. Mobinil, Egypt s largest mobile phone operator by subscribers, gained 5.56 percent to LE 133.98 on market forecasts of strong fourth-quarter results. Investment bank EFG-Hermes said last week it expects Mobinil s fourth-quarter net profit to rise nearly 20 percent to LE 526 million. The results are expected on Feb. 1. The market posted Tuesday its sharpest single-day gain in nearly three months as investors snapped up shares of telecommunications and banking companies on anticipations of strong corporate earnings. The index jumped 5.24 percent to 3,862.08 points on a moderate turnover of LE 657.6 million ($118.2 million). Shares of Telecom Egypt (TE) - the largest Arab fixed-line telephone operator by subscribers - climbed 7.01 percent to LE 14.65, their best performance since Nov. 25. Investment bank Beltone Financial said it expects TE s fourth quarter net profit to rise 25 percent on increased revenue from tariffs and from the firm s submarine cable between Europe and Egypt. Shares of Mobinil also rose 4.14 percent to LE 135.08. Financial constituents also closed in the green. Shares of EFG-Hermes - Egypt's largest listed investment bank - gained 6.53 percent to LE 14.20, while CIB clambered 4.91 percent to LE 33.31. Shares of CIB are trading at 6.35 times estimated 2009 earnings, compared to a sector average of 12.78, according to Reuters data. Shares of OCI extended gains for the second straight session, leaping 5.24 percent to LE 107.60, while OT rose 4.1 percent to LE 22.57. The index rose a hair on Wednesday by 0.14 percent to 3,867.56 points on a low turnover of LE 473.6 million ($85.1 million). Shares in EFG-Hermes ended the day on a positive note, gaining 2.17 percent to LE 14.57. Investment bank Pioneers Holding also edged 5.77 percent higher to LE 6.05 per share. But telecom shares eclipsed the market's gains after HSBC cut price targets in the sector and said OT was still exposed to a negative outlook in Pakistan. The stock lost 1.2 percent to LE 22.30. Mobinil slid 1.06 percent to LE 136 after HSBC downgraded its target price to LE 180 from LE 230 and rated the stock as "overweight . Egypt's fixed-line monopoly TE fell 0.28 percent to LE 14.50 below HSBC s revised price target of LE 21. The market ended almost flat on Thursday as wary local investors took profits, overshadowing mild gains from some early buying by foreign investors. The index inched 0.19 percent higher to 3,874.94 points on a moderate turnover of LE 570 million. Shares of OCI rose 0.19 percent to LE 110. Mobinil shed 2.92 percent to LE 133.12 after Credit Suisse cut its price target on its shares to LE 170 from LE 200, saying it expects no earnings growth for the company in 2009.
