Mobile  |  About us  |  Photos  |  Videos  |  Subscriptions  |  RSS Feeds  |  Today's Paper  |  Classifieds  |  Contact Us
The Daily Star
MONDAY, 21 APR 2014
03:08 PM Beirut time
21 °C
Blom Index
Middle East
Follow this story Print RSS Feed ePaper share this
Egypt ends near 5-mth high; most Gulf mkts up
Egyptian traders monitor their screens at Egypt's benchmark stock in Cairo, Egypt, Tuesday, June 26, 2012. (AP Photo/Amr Nabil)
Egyptian traders monitor their screens at Egypt's benchmark stock in Cairo, Egypt, Tuesday, June 26, 2012. (AP Photo/Amr Nabil)
A+ A-

CAIRO/DUBAI: Egypt's index rose for a third straight session on Tuesday, closing at a near 5-month high, as President Mohamed Mursi's move to take powers from the army revived hopes of economic stability among investors.

Mursi, voted into office in June after the ousting of Hosni Mubarak last year, retired the country's two top generals and cancelled a decree issued by the military before his election which had curbed the power of the presidency.

"On paper things are looking more neat and more comfortable for any kind of investor," said Teymour el-Derini at Naeem Brokerage. "Things are going in a democratic manner... I think we'll see a rally in the next couple of months."

He said Mursi's move, which already pushed the benchmark index up 1.5 percent on Monday, is bringing more foreign and retail investors into the market.

Pointing to some recent commitments of foreign donor funds to Egypt and signs of improving housing demand, Derini says: "Things have not looked this better since the uprising."

Among the main gainers, EFG Hermes rose 3.5 percent and Ezz Steel gained 2.2 percent.

The most active stock was Commercial International Bank , up 1.3 percent. CIB reports its second-quarter earnings late on Tuesday.

The index climbed 1.3 percent to 5,111 points, ending at its highest close since March 22.

Most other Gulf markets advanced, as positive earnings helped lift investor sentiment.

Abu Dhabi's index closed at an 18-week high, buoyed by Dana Gas which posted a sharp jump in quarterly profits.

Dana shares ended 2.6 percent higher, accounting for more than a third of the shares traded on the index.

Investors disregarded the lack of clarity on how the firm will repay a $1 billion Islamic bond maturing in October.

"The most important thing is to resolve the sukuk issue - they're saying that they want to resolve it, but I can't see how they'll do it," says a Dubai-based fund manager. "They need to either renegotiate the maturity or get a cash injection."

Abu Dhabi's index ended 0.3 percent higher at its highest close since April 9, while Dubai's benchmark shed 0.2 percent.

UAE markets have rallied in recent sessions, as strong quarterly earnings from real estate firms spurred optimism the sector is on a recovery path.

Emaar Properties slipped 0.3 percent, easing away from Monday's 16-week high.

Meanwhile, Kuwait's index advanced 0.2 percent helped by National Industries Group which jumped to a three-week high after it said it will repay its $475 million sukuk that matures on August 16.

Shares of the investment firm ended 5.4 percent higher.

Logistics firm Agility gained 1.3 percent. It posted flat second quarter profits, but said it did not take any provisions against its suspension from dealing with the United States army.

Saudi Arabia's index ends the day near-flat as investors gear up for the long Eid holiday. Session volumes are their second-lowest of 2012, with only Feb. 4 seeing fewer shares changing hands on the exchange. Qatar's index edged up 0.07 percent to its highest close since May 31. The bourse has gained in 10 of the last 11 sessions.

Home Middle East

Your feedback is important to us!

We invite all our readers to share with us their views and comments about this article.

Disclaimer: Comments submitted by third parties on this site are the sole responsibility of the individual(s) whose content is submitted. The Daily Star accepts no responsibility for the content of comment(s), including, without limitation, any error, omission or inaccuracy therein. Please note that your email address will NOT appear on the site.

comments powered by Disqus

Baabda 2014
Follow us on Facebook Follow us on Twitter Follow us on Linked In Follow us on Google+ Subscribe to our Live Feed
Pictures of the day
A selection of images from around the world- Monday April 21, 2014
View all view all
Rami G. Khouri
Rami G. Khouri
Why Israeli-Palestinian talks fail
Michael Young
Michael Young
Why confuse gibberish with knowledge?
David Ignatius
David Ignatius
Echoes of 1914 characterize the Ukraine crisis
View all view all
Click to View Articles
Privacy Policy | Anti-Spamming Policy | Disclaimer | Copyright Notice
© 2014 The Daily Star - All Rights Reserved - Designed and Developed By IDS