Powered by

EGP / USD CBE market average: Buy 18.0276 | Sell 18.1306
EGP / USD at CIB: Buy 18.05 | Sell 18.15
EGP / USD at NBE: Buy 17.95 | Sell 18.05

EGX30 (Sunday): 13,205 (+0.9%)
Turnover: EGP 638 mn (40% below the 90-day average)
EGX 30 year-to-date: +7.0%

THE MARKET ON SUNDAY: The EGX30 ended Sunday’s session up 0.9%. CIB, the index heaviest constituent ended up 1.5%. EGX30’s top performing constituents were: Emaar Misr up 6.3%, Juhayna up 4.2%, and Domty up 2.1%. Yesterday’s worst performing stocks were: Amer Group down 3.0%, Cairo Oils & Soap down 1.9%, and Qalaa Holdings down 1.2%. The market turnover was EGP 638 mn, and regional investors were the sole net sellers.

Foreigners: Net Long | EGP +27.7 mn
Regional: Net Short | EGP -29.5 mn
Domestic: Net Long | EGP +1.8 mn

Retail: 68.9% of total trades | 65.0% of buyers | 72.9% of sellers
Institutions: 31.1% of total trades | 35.0% of buyers | 27.1% of sellers

Foreign: 12.0% of total | 14.2% of buyers | 9.9% of sellers
Regional: 10.6% of total | 8.3% of buyers | 12.9% of sellers
Domestic: 77.3% of total | 77.5% of buyers | 77.2% of sellers

***
PHAROS VIEW

It should not come as a surprise if the Central Bank decides to hike interest rates again in the coming months, Pharos Research suggest in their latest report (pdf), which says that domestic demand must grow at a slower pace to remain consistent with domestic production growth and economic realities. Simply, the gap between resources and the demand for them is still too high, which isn’t helping inflation. “If our analysis proves to be right, consumption will come under pressure due to further fiscal and monetary tightening, in addition to a slower wage adjustment,” the note says. Interest rates would begin to slow again once inflation begins to deccelerate in 2QFY2017-18.

***

WTI: USD 49.77 (-0.06%)
Brent: USD 52.15 (0.00%)
Natural Gas (Nymex, futures prices) USD 3.24 MMBtu, (2.08%, July 2017 contract)
Gold: USD 1,270.20 / troy ounce (-0.09%)

TASI: 6,783.39 (-1.29%) (YTD: -5.92%)
ADX: 4,496.38 (-0.45%) (YTD: -1.10%)
DFM: 3,293.60 (-1.01%) (YTD: -6.72%)
KSE Weighted Index: 401.00 (-0.30%) (YTD: +5.50%)
QE: 10,123.23 (+0.62%) (YTD: -3.00%)
MSM: 5,286.64 (-0.31%) (YTD: -6.85%)
BB: 1,317.40 (+0.24%) (YTD: +7.94%)