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Wednesday, 5 May 2021

What the markets are doing on 5 May 2021

SUPERCYCLE WATCH- It looks like the “perfect storm” for a commodities supercycle is here: Demand for agricultural commodities, industrial metals, and energy is booming as economic recoveries take hold in the US, Europe, and China, suggesting that the commodities supercycle everyone has been talking about is now kicking off, the Financial Times reports. Among the raw materials seeing a jump in prices are iron ore — “the key ingredient needed to make steel, palladium, used by carmakers to limit harmful emissions” — which is proving particularly popular as expectations of a “greening” global economy pick up steam. Need a refresher on the supercycle and what it means for Egypt? We’ve got you covered.

Saudi Aramco’s 1Q2021 net income soared 30% as oil prices recovered, giving the state-owned giant the ability to deliver a record USD 18.75 bn dividend payout it had promised investors, according to its earnings release (pdf). Aramco’s net income came in at USD 21.7 bn for the quarter, up from USD 16.7 bn in the same period last year, when earnings took a strong hit from the early effects of the pandemic and the collapse in oil prices in March.

Down

EGX30

10,466

-0.1% (YTD: -3.5%)

Down

USD (CBE)

Buy 15.62

Sell 15.73

Down

USD at CIB

Buy 15.61

Sell 15.71

None

Interest rates CBE

8.25% deposit

9.25% lending

Up

Tadawul

10,319

+0.1% (YTD: +18.8%)

Up

ADX

6,118

+0.4% (YTD: +21.3%)

Down

DFM

2,644

-0.4% (YTD: +6.1%)

Down

S&P 500

4,165

-0.7% (YTD: +10.9%)

Down

FTSE 100

6,923

-0.7% (YTD: +7.2%)

Up

Brent crude

USD 69.54

+1.0%

Up

Natural gas (Nymex)

USD 2.98

+0.3%

Up

Gold

USD 1,779.30

+0.2%

Down

BTC

USD 54,993.63

-0.9%

The EGX30 fell 0.1% yesterday on turnover of EGP 790 mn (37.9% below the 90-day average). Local investors were net sellers. The index is down 3.5% YTD.

In the green: Export Development Bank (+3.2%), Credit Agricole (+2.4%) and Orascom Development (+2.4%).

In the red: Madinet Nasr Housing (-12.1%), CI Capital (-3.5%) and Edita (-3.4%).

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.

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