[2008-07-04]  Egypt shares fall with international markets
Egypt's main indexes dipped on Thursday as tumbling global markets weighed on local big caps led by Orascom Telecom (OT), brokers said.
The benchmark CASE30 index declined 0.9 percent to end the week at 9,949.93 points, while the broader CIBC index closed 1.1 percent lower at 535.28 points.
"What's happening in the world had a very negative effect today on the market," said Hashem Ghoneim, CEO of El Nour Securities.
A global sell-off knocked world shares to a five-month low on Thursday as surging oil prices fanned concerns about inflation and slowing growth, ahead of an expected euro zone interest rate hike and a key U.S. jobs report.
OT, the index heavyweight, fell 3.7 percent to last trade at 67.50 Egyptian pounds ($12.64). The stock was the second most heavily traded stock on the day.
Shares in other big caps also last traded lower with Orascom Construction Industries shedding 1.8 percent to 370 pounds and investment bank EFG-Hermes losing 4 percent to last trade at 47 pounds.
Shares in Ezz Steel last traded 5.4 percent lower at 77 pounds despite its announcement earlier on the day of a record profit in the first quarter of 2008, 56 percent up to 436 million pounds.
"The market had positive expectations for the company for a long time now pushing its price up and now some investors preferred to cash in the profit," said Amr Alaa of Prime Securities. Ezz Steel has gained 35.6 percent since its year-low on Jan. 22.
Bucking the market were shares of Pioneers Holding, which listed last week after a private placement. The stock rose 18 percent to 26.90 pounds, extending gains to about 150 percent since June 24.
"The stock is still attracting strong retail interest," Ghoneim said.
Source: © Guardian News and Media Limited 2008