CAIRO: The Egyptian stock market witnessed a total loss of 10.2 billion EGP (U.S. $1.7 billion) of its market value across three indices in the first session of the week today. The drop was triggered by large sales by foreign investors. Financial institutions are afraid of the repercussions of the American debt ceiling issue and the reduction of the U.S. credit rating. International markets significantly declined during sessions over Egypt's weekend. The main stock market index EGX 30 reduced 4.17 percent and closed at 4,798.89 points. The medium and small companies' index EGX 70 reduced 4.15 percent. The index EGX 100 reduced 4.03 percent. Total transactions reached 319 million EGP (U.S. $53 million). Foreign investors were responsible for 10.4 percent of total transactions today, totaling 31.6 million EGP (U.S. $5.3 million). Egyptian transactions comprised 84.63 percent, totaling 28.77 million EGP (U.S. $4.8 million) and Arab investors took 4.98 percent, totaling 2.85 million EGP (U.S. $0.47 million). Most of the main shares dropped today, including: Orascom Telecom, down 6.76 percent; El Amma, down 6.97 percent; Agwaa, down 6.59 percent; Hermis, down 6.10 percent; Mobinil, down 4.03 percent; Commercial International Bank, down 3.86 percent; and Egyptian Telecommunications, down 2.28 percent. Ehab Saeed, board member for Asool Company for Brokerage and member of the research department, said the repercussions of the first transaction session of the week is exceeding declines, since Egypt's stock market wasn't affect by International markets. He said closing the stock market for 55 transaction sessions during Egypt's January 25 Revolution caused the gap between the performance of the Egyptian stock market and the International stock markets. Saeed said the performance of the Egyptian stock market after the revolution became attached to current events in Egypt. Saeed said the transaction session's closure today at this level and rising Orascom for Construction and Industry shares after its decline in morning transactions supported the index's performance at 4,800 points.
