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Thursday, 27 May 2021

MSCI EM currency index soars

MSCI’s emerging market currency index soared to a new record high yesterday as investors turned to EMs following the US Federal Reserve’s announcement of its plans to keep interest rates low and maintain its stimulus program, despite inflationary pressures, Reuters reports. The USD dropped to its lowest level since January, while the MSCI reading overtook peaks recorded earlier this month, buoyed by currencies such as China’s RMB, which jumped to an almost three-year high.

Amazon is officially acquiring MGM Holdings for USD 8.45 bn, after the two signed a definitive merger agreement, the e-commerce giant said in a statement. The price tag includes nearly USD 2 bn of debt, with the equity value of the acquisition put at USD 6.5 bn, the Wall Street Journal reports, citing unnamed sources with knowledge of the matter. The agreement will bring more than 4k film titles produced by Metro Goldwyn Mayer to Amazon’s Prime Video streaming platform, giving it a leg up in the competition against streaming services Netflix and Disney+.

Down

EGX30

10,370

-1.5% (YTD: -4.4%)

None

USD (CBE)

Buy 15.62

Sell 15.72

None

USD at CIB

Buy 15.62

Sell 15.72

None

Interest rates CBE

8.25% deposit

9.25% lending

Up

Tadawul

10,472

+0.2% (YTD: +20.5%)

Down

ADX

6,564

-1.0% (YTD: +30.1%)

Up

DFM

2,825

+1.0% (YTD: +13.4%)

Up

S&P 500

4,196

+0.2% (YTD: +11.7%)

None

FTSE 100

7,027

– (YTD: +8.8%)

Down

Brent crude

USD 68.67

-0.3%

Up

Natural gas (Nymex)

USD 2.98

+2.4%

Down

Gold

USD 1,896.20

-0.4%

Up

BTC

USD 38,671.53

+1.55%

The EGX30 fell 1.5% yesterday on turnover of EGP 1.36 bn (5.1% above the 90-day average). Local investors were net buyers. The index is down 4.4% YTD.

In the green: Orascom Financial Holding (+4.2%), Export Development Bank (+2.7%) and Pioneers Holding (+2.5%).

In the red: CIB (-3.2%), ElSewedy Electric (-2.3%) and Fawry (-2.3%).

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