The Egyptian Exchange (EGX) indices rose in July amid upbeat investor sentiment after President El-Sisi’s announcement that major projects will be launched after Eid ul-Fitr break.
The benchmark index EGX30 rose 8.1% or 664.08 points to reach 8826.28 points, compared with 8162.2 points at June-end.
The small and mid-cap index EGX70 added 6.27% or 37.08 points to 628.22 points, compared with 591.14 points.
The broader index EGX100 gained 7.2% or 74.51 points to 1108.77 points, compared with 1034.26 points.
Market capitalization gained more than EGP 23.418 billion to EGP 501.058 billion, compared with EGP 477.64 billion at June-end.
Ahmed Thabet, head of technical analysis, Mirage Brokerage, said the bourse kicked off July with a rebound from 8050-8060 levels following a steep decline in June. He added that, despite the negative news about the economy in general and the stock market in particular, i.e. the endorsement of capital gains tax on stock market profit and dividend, the index closed July at the highest price near 8026 points.
According to the analyst, the index is expected to move between 8750 and 9450 in August, amid a return of strong liquidity and traded volumes on expected positive news at the economic and political levels.