Supervisor Elham AbolFateh
Editor in Chief Mohamed Wadie

EGX Declines 5% amid Intense Selling from Local Financial Institutions

Tue 23 Apr 2024 | 07:50 PM
Taarek Refaat

The main index of the Egyptian Stock Exchange (EGX 30) fell 4.9% to close at 26,777 points during Tuesday’s trading, driven by intense sales from local government financial institutions, after achieving significant gains during the past few months.

Egyptian stocks lost about EGP 86 billion of their market value, reaching EGP 1.904 trillion, and the Stock Exchange suspended trading in about 13 stocks due to their decline between 5% and 10%.

During transactions, the market cap achieved market losses amounting to EGP 86 billion, closing at the level of EGP 1.818 trillion.

The index of medium and small companies "EGX70 EWI" decreased by 5.06% to settle at the level of 6213.9 points, and the broader index, "EGX100 EWI" declined by 5.03%, settling at the level of 8817.4 points.

Despite the sales of government financial institutions, the trading session witnessed strong purchases by foreign and Arab financial institutions and individuals.

The shares of CIB fell 4.5%, while Qalaa Holdings also dropped 4.6%, as for Talaat Mostafa, the shares fell 6.5%. The share prices of  Fawry plunged 8.6%, and Palm Hills 4.2%.

Geopolitical tensions in the region led the strong corrective trend that affected the stock market, in addition to the pessimistic outlook in global markets, and although institutional sales were strong today, they still maintained higher rates.