Back to the complete issue
Thursday, 17 December 2020

What the markets are doing on 17 December 2020

The EGX30 fell 0.7% yesterday on turnover of EGP 1.5 bn (9.5% above the 90-day average). Foreign investors were net sellers. The index is down 21.3% YTD.

In the green: Sidi Kerir Petrochemicals (+1.8%), Ezz Steel (+1.3%) and EFG Hermes (+0.4%).

In the red: Beltone Financial Holding (-3.9%), GB Auto (-3.7%) and Egyptian Iron and Steel (-3.1%).

Asian shares are mixed this morning, but futures suggest Europe and Wall Street will all open in the green later today.




-0.7% (YTD: -21.3%)



Buy 15.65

Sell 15.75



Buy 15.64

Sell 15.74


Interest rates CBE

8.25% deposit

9.25% lending




+0.7% (YTD: +4.0%)




+0.4% (YTD: +1.5%)




+0.4% (YTD: -8.1%)


S&P 500


+0.2% (YTD: +14.6%)


FTSE 100


+0.9% (YTD: -12.9%)


Brent crude

USD 51.18



Natural gas (Nymex)

USD 2.71




USD 1,867.90




USD 21,431.87


The US Federal Reserve vowed to keep buying bonds until it sees a “substantial” progress on the economy as it wrapped its two-day FOMC meeting yesterday. Fed officials “upgraded their economic projections but maintained predictions that they would keep rates close to zero until at least the end of 2023,” the Financial Times reports. Reuters also has the story. Meanwhile, the Fed has also joined the fight against climate change.

Saudi Arabia is pouring hundreds of bns of SAR into local investments through its wealth funds to narrow its budget deficit as of next year, after its economy was battered this year by low oil prices, Bloomberg reports. Cushioned by revenues that will reach SAR 849 bn in 2021, the kingdom’s budget will remain “expansionary” for the coming period even as government spending is slashed, Saudi Finance Minister Mohammed Al-Jadaan said.

Low oil demand will likely stick around for a little while longer, despite a rebound in oil prices earlier this week that reached USD 50/bbl due to excitement from the rollout of vaccines and a swift recovery in China, according to the International Energy Agency’s (IEA) December Oil Market Report. Driven by reductions in demand from Europe and OECD countries in 4Q2020 as they reel from renewed lockdown measures and weak demand for air travel, the group says it will be another “several months” before enough people are vaccinated for a rebound in consumption to really take hold. You can view the landing page for the report here.

The Eurozone’s economic performance exceeded expectations in December, with the bloc’s flash PMI data (pdf), but remains below the 50 mark that separates growth from contraction. Pundits had expected the reading to come in much lower as covid-19 surges in Europe.

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of HSBC Egypt (tax ID: 204-901-715), the leading corporate and retail lender in Egypt; EFG Hermes (tax ID: 200-178-385), the leading financial services corporation in frontier emerging markets; SODIC (tax ID: 212-168-002), a leading Egyptian real estate developer; SomaBay (tax ID: 204-903-300), our Red Sea holiday partner; Infinity (tax ID: 474-939-359), the ultimate way to power cities, industries, and homes directly from nature right here in Egypt; CIRA (tax ID: 200-069-608), the leading providers of K-12 and higher level education in Egypt; Orascom Construction (tax ID: 229-988-806), the leading construction and engineering company building infrastructure in Egypt and abroad; Moharram & Partners (tax ID: 616-112-459), the leading public policy and government affairs partner; Palm Hills Developments (tax ID: 432-737-014), a leading developer of commercial and residential properties; Mashreq (tax ID: 204-898-862), the MENA region’s leading homegrown personal and digital bank; and Industrial Development Group (IDG) (tax ID:266-965-253), the leading builder of industrial parks in Egypt.