Egypt: Arab Purchases Push Egypt’s Stock Market up

Cairo - Arab purchases in the Egyptian stock market pushed up the benchmark index on Wednesday but secondary indices still edged down after some fluctuation.

The EGX 30 climbed by 0.9 per cent to 5,947 points, up from 5,893 at trading kickoff. The index for medium and small enterprises EGX 70 and the broader EGX 100 both dropped by 0.99 and 0.11 per cent, respectively.

Arabs traders made net purchases, while both Egyptian and foreign traders recorded net sales.

The benchmark index EGX 30 had climbed up 1.63 per cent on Tuesday. The director of customer accounts at Okaz Securities Brokerage, Ahmed Zakariya, attributed the increase to the Central Bank of Egypt's decision on Monday to raise the cap on foreign currency deposits at banks to $1 million a month for exporting companies.

Last month, the central bank raised the cap on foreign deposits fivefold to $250,000 for certain goods and basic products.

Any decision having a positive impact on the economy will be directly reflected in the stock market, Zakaria added.