CAIRO: The start of former Egyptian president Hosni Mubarak’s trial on Wednesday renewed political jitters, pushing the benchmark index to its lowest close since May 10.
The ousted president is being tried for his role in killing protesters during the 18-day uprising earlier this year. Traders said investors are worried that if Mubarak doesn’t appear in court the country could erupt in a renewed bout of protests.
"There is selling pressure across the board because investors are cautious, eyeing what will happen tomorrow and its outcome," said Chamel Fahmy of Pharos Securities.
The main index fell 2.1 percent, its biggest single-day decline since July 12, to 4,967 points. All EGX30 constituents barring three stocks close in the red.
Egyptians camped out in Cairo for more than three weeks in July demanded faster reforms by the army council, in power since Mubarak was ousted on Feb. 11, including swifter trials of Mubarak and his aides over corruption and protester deaths. The army dispersed the protesters by force on Monday.
Many suspect the military of foot-dragging over Mubarak, in hospital since April in Sharm El-Sheikh, a Red Sea resort.
Mubarak’s trial weighed on big caps, with Orascom Construction losing 2 percent and Orascom Telecom 5 percent.
Egypt’s biggest private lender, Commercial International Bank, shed 1.7 percent and its biggest investment bank, EFG-Hermes, 3.5 percent.
