Germany's inflation slips to 1.6% in September '24    Russia allocates $61.4b for national projects in '25 budget    EGX closes green on Sept 30    A recent study by Al-Futtaim IKEA highlights the connection between home environment and restful sleep    IL Cazar partners with Orange Egypt to enhance smart city living in New Cairo projects    Israel continues raids on Beirut, UNFP warns of disaster in Lebanon    Egypt's Finance Minister unveils tax relief package, aims for "new chapter" with businesses    Egypt maintains balanced policy amid regional turmoil: Al-Sisi    Korea Culture Week wraps up at Cairo Opera House    American ambassador honours alumni of US-funded exchange programmes    Spain's La Brindadora Roja, Fanika dance troupes participate in She Arts Festival    World powers call for ceasefire, diplomatic resolution to Hezbollah-Israel conflict    Cairo to host international caricature exhibition celebrating Mahatma Gandhi's birth anniversary    UAE, Ghana collaborate on nature-based solutions initiative    EU pledges €260m to Gavi, boosts global vaccination efforts    Colombia unveils $40b investment plan for climate transition    China, S. Korea urge closer ties amid global turmoil    Egypt pushes forward with "Great Transfiguration" project in Saint Catherine    ABK-Egypt staff volunteer in medical convoys for children in Al-Beheira    Egypt's Endowments Ministry allocates EGP50m in interest-free loans    Islamic Arts Biennale returns: Over 30 global institutions join for expansive second edition    Kabaddi: Ancient Indian sport gaining popularity in Egypt    Ecuador's drought forces further power cuts    Al-Sisi orders sports system overhaul after Paris Olympics    Basketball Africa League Future Pros returns for 2nd season    Egypt joins Africa's FEDA    Egypt condemns Ethiopia's unilateral approach to GERD filling in letter to UNSC    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Egypt's FM, Kenya's PM discuss strengthening bilateral ties, shared interests    Paris Olympics opening draws record viewers    Former Egyptian Intelligence Chief El-Tohamy Dies at 77    Who leads the economic portfolios in Egypt's new Cabinet?    Financial literacy becomes extremely important – EGX official    UNESCO celebrates World Arabic Language Day    Motaz Azaiza mural in Manchester tribute to Palestinian journalists    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Market Report: Egyptian stocks continue their slide
Continuing setbacks for real estate firms mean the troubled market is losing further ground
Published in Ahram Online on 04 - 05 - 2011


@font-face {
font-family: "Times";
}@font-face {
font-family: "MS 明朝";
}@font-face {
font-family: "Cambria Math";
}@font-face {
font-family: "Cambria";
}p.MsoNormal, li.MsoNormal, div.MsoNormal { margin: 0in 0in 0.0001pt; font-size: 12pt; font-family: Cambria; }p { margin-right: 0in; margin-left: 0in; font-size: 10pt; font-family: Times; }.MsoChpDefault { font-family: Cambria; }div.WordSection1 { page: WordSection1; }
Egypt's EGX30 stock benchmark closed Wednesday's trading down 1.13 per cent, fuelled by an unprecedented decline in major real estate securities.
The two broader indicators, the EGX70 and EGX100 also fell 1.02 per cent and 1.16 per cent respectively. Of 184 traded stocks, 130 declined while 47 showed gains.
“Fluctuations in real estate always impact the stock exchange due to the large trading volume and the market capitalisation of their securities,” says Mohamed Radwan, sales manager at Pharos Securities.
The real estate sector witnessed the sharpest decline -- 3.52 per cent -- driven by the deterioration of shares in Palm Hills, TMG and the Amer Group.
On Monday news surfaced about the government terminating a land agreement with Palm Hills Development and taking back 2,229 feddans of land in the coastal city of Marsa Matrouh after the beleaguered property developer failed to pay its "financial dues".
Palm Hills stock dropped 7.41 per cent, the biggest loser in today's session. It closed at LE2.46 per share, its lowest level since it was first listed on the exchange. Other real estate stocks fell as well.
“The real estate sector is flooded with corruption news and financial ambiguity. Investors are getting weary of being uncertain,” Radwan says.
Amer Group, which faced similar land confiscation issues in Marsa Matrouh, dipped 3.57 per cent. TMG, a veteran of land disputes, dropped 4.84 per cent.
The stock market opened this week on an upward trend, partially attributed to the boost in international markets following the death of Osama bin Laden. But these gains have quickly retreated.
“The market will continue its fluctuations until the business atmosphere in Egypt cools down. Investors are extremely hesitant and agitated,” Radwan explains.
Most sectors, with the exception of chemicals, basic resources and health care and pharmaceuticals, witnessed deterioration.
The tourism sector joined real estate on the slide, declining by 2.58 per cent. Both sectors have lost more than half their values since the beginning of this year.
Trade was almost evenly distributed between Egyptians and non-Egyptians. Foreigners and Arabs were net sellers hitting the LE26 million mark.
Individuals were net-buyers, comprising 44 per cent of trade.


Clic here to read the story from its source.