Ethiopia launches massive investment fund: The Ethiopian government is targeting foreign investment in at least USD 150 bn-worth of state assets, as it looks to switch tack by opening up to the private sector in a bid to boost flagging growth. (Financial Times)

The US government-backed mortgage loans market could be in for some turbulence as the Fed works to reduce its USD 9 tn balance sheet, the Financial Times says. The Fed is working to reduce its holdings of both treasuries and agency mortgage-backed securities to focus on a smaller, all-treasury portfolio. Fed officials have signaled the central bank could take an aggressive approach by selling the mortgage bonds instead of allowing them to mature, leading investors to worry that the market could be flooded. That would drive yields up as prices drop, “exacerbating a trend that started in November” when the US central bank began tapering its monthly debt purchases.

Saudi oil giant Aramco has made several natural gas field discoveries that could produce more than 75 mn cubic feet per day, the Saudi Press Agency reported, citing Energy Minister Prince Abdulaziz bin Salman. The gas fields were discovered across four separate KSA regions, and include two unconventional fields, which are harder to exploit.

THE CLOSING BELL-

The EGX30 rose 2.6% at yesterday’s close on turnover of EGP 541 mn (46.7% below the 90-day average). Foreign investors were net sellers. The index is down 6.5% YTD.

In the green: Cleopatra Hospital (+10.2%), GB Auto (+7.3%) and Qalaa Holding (+6.7%).

In the red: Credit Agricole (-0.1%).