CAIRO: Egyptian stock indexes rose for a second day on Wednesday as foreign investors continued to buy up blue chip shares at attractive prices after a sharp drop in the market earlier in the week.
The benchmark CASE 30 index, which on Monday fell to its lowest level in 45 months, was up 2.89 percent to 3,978.67 points on Wednesday.
Some (foreign) clients are looking to build some positions at these levels in these stocks, said Mohamed Radwan of Pharos Securities.
Mohamed Tawfiq of Delta Rasmala Securities said that while foreign investors were not aggressive buyers, their return as net buyers had helped boost the market.
They removed some of the selling pressure from the market, said Tawfiq.
Foreign investors, who were responsible for about 17 percent of the day s transactions, were Wednesday s only net buyers by a margin of LE 38.3 million, according to stock market data.
Foreign institutional investors boosted many big cap stocks. Shares in index heavyweight Orascom Construction Industries, the day s most heavily traded by value, last traded 6.19 percent higher at LE 123.30, while regional mobile operator Orascom Telecom s shares were 1.39 percent up at LE 23.40 per share.
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The rival Hermes index closed 2.43 percent up at 375.54 points, while the broader CIBC 100 index was 1.70 percent up at 268.8 points.
EFG-Hermes, Egypt s largest investment bank by market value, saw its shares gain 2.13 percent to last trade at LE 14.83 per share, while Ezz Steel gained 3.86 percent to LE 10.23 per share.
