Egypt’s stock exchange wrapped up the trading session on January 9, 2025, with a pronounced downturn across its key indices, highlighting ongoing market volatility. The dip was evident as the EGX30, the benchmark index, fell by 1.15%, closing at 29,444.65 points, underscoring a challenging day for investors.
The day saw a uniform decline across various segments of the market. The EGX33, focusing on Shariah-compliant stocks, slipped by 0.74% to end at 3,097.34 points. Meanwhile, the EGX70, which tracks small and medium-sized enterprises, experienced a marginal setback, decreasing by 0.01% to 8,303.17 points. The broader EGX100 index mirrored this trend with a 0.25% drop, closing at 11,376.82 points.
Despite these declines, the total market capitalization remained substantial, reaching 2.18 trillion Egyptian pounds, a reflection of the market’s underlying potential amidst short-term fluctuations.
An intriguing aspect of Thursday’s trading was the contrasting behavior among different investor groups. Egyptian and Arab investors emerged as net buyers, contributing 13.85 billion and 240.63 million Egyptian pounds respectively. Conversely, non-Arab foreign investors offloaded shares worth approximately 14.09 billion Egyptian pounds, indicating a cautious stance towards the market under current conditions.
Some stocks managed to defy the overall market trend, showcasing significant gains. Notably, Saudi Egyptian Investment & Finance (SEIG.CA) saw its shares soar by 19.99%, closing at 78.09 Egyptian pounds. Golden Textiles & Clothes Wool (GTWL.CA) also performed strongly, with a 19.89% increase to 30.26 Egyptian pounds per share. Ismailia Misr Poultry (ISMA.CA) witnessed an 11.93% rise, reaching 10.13 Egyptian pounds.
On the downside, Nozha International Hospital (NINH.CA) suffered the largest drop, with shares falling 7.14% to 8.45 Egyptian pounds. The General Company For Land Reclamation, Development & Reconstruction (AALR.CA) fell by 6.91%, and Samad Misr -EGYFERT (SMFR.CA) decreased by 6.78%, closing at 56.32 and 95.06 Egyptian pounds respectively.
Dr. Ahmed Zaki, a financial analyst at the Egyptian Economic Forum, commented on the situation, stating, “Today’s market performance is reflective of broader global uncertainties impacting investor sentiments. While local investors are finding value, international investors are exhibiting caution, likely due to geopolitical factors and economic forecasts.”
Market experts suggest that while the day’s trading shows immediate bearish trends, the diverse investment behavior hints at underlying confidence in the market’s long-term prospects among regional investors.
