Non-Arabs lifted Egypt's main index to an eight-month high on Tuesday after two days of losses, traders said. Non-Arabs made net purchases woth LE92.6 million ($16 million), they added. Locals and Arabs made net sell-offs worth LE66.8 million and LE25.7 million respectively. The North African country's benchmark index EGX 30 gained 127.2 points, or 1.8 per cent to 7,200.3 points, its highest level since May 2010. The EGX 70, which measures 70 of the country's small and mid caps, added 1.1 per cent to 757.28 points. Orascom Construction Industries leapt by 3.37 per cent to LE291.7 per share. Orascom Telecom, the largest Arab mobile operator by subscribers, gained 1.41 per cent LE4.32 per share. Real estate SODIC jumped by 3.92 per cent to LE110.52 per share. Commercial International Bank (CIB) rose by 0.72 per cent to LE46.25 per share. Volume hit LE1.7 billion, according to the Egyptian Exchange. Arafa Holding, Egypt's biggest garment exporter, has approved a one share dividend for every 10 owned, the company said. The company also distributed one share for every 10 held last year, according to Reuters. It did not give a date for this year's distribution. Arafa's net profit for the nine months from February to October was $13 million, up from $6 million a year earlier. Arafa's financial year ends on January 31. Globally, optimism about the state of the world economy lifted stocks as well as boosting the dollar and keeping oil prices at a near 27-month peak. US, Chinese and European PMI manufacturing data continued to boost risk sentiment across financial markets along with the "January effect" that occurs as fund managers dispense with the need to settle end-of-year balances. Some investors were also looking ahead to Friday's US, jobs data, expecting to see the world's largest economy in an improving state of health. "People are starting to recognize there is some improvement in the employment picture in the United States. You would expect to see some of the confidence of the (manufacturing) PMI to be reflected in the non-farm payrolls," said Philip Isherwood, European equities strategist at Evolution Securities. World stocks as measured by MSCI were up nearly a quarter of a percent on the day, with the emerging market sub-index gaining 0.4 per cent. In Europe, the FTSEurofirst 300 gained 0.6 per cent while Japan's Nikkei began the year with a 1.7 per cent climb to a seven and half month closing high. "Investors may stay cautious before U.S. jobs data this Friday, but they are optimistic overall," said Hiroichi Nishi, general manager at Nikko Cordial Securities. Recent bullishness about the global economy has also pushed up the price of crude oil, which hovered near its highest levels in more than two years. The upbeat US manufacturing data lifted the dollar, while the euro eased slightly after last week's short-covering surge. The dollar was up 0.31 per cent on a basket of currencies while the euro eased around 0.1 percent from late US trading on Monday to $1.3353. The single currency had dipped as low as $1.3324 earlier on Tuesday, with some traders citing talk of possible euro-selling flows related to bond redemptions and coupon payments of eurozone debt.
