Egypt Independent

Egypt stock market down by 6%



The Egyptian stock market has plummeted abruptly, affected by a downfall in Arab and international markets, which have been plagued by fears of the expansion of the financial crisis in Greece.

The state of alarm threw investors into a selling frenzy that caused the main market index, EGX 30, to fall by 6.08 percent, thus standing at 5936 points. This is the steepest fall since 2008.

Stocks lost around LE 21.2 billion from their market capital, which is estimated at LE396.8 billions. Leading stocks plummeted collectively by rates ranging between one and 11 percent.

Dollar-traded stocks failed to escape the downfall, instead coming to the forefront of dropping shares.

In Europe, Egyptian deposit certificates in the London stock market  fell between 2 and 15 percent, including those of Telecom Egypt, Suez Cement, Orascom, and Lecico.

Moatasem el-Shahidy, managing director of a securities company, said that the drop was triggered by a parallel slump in world markets that which was the result of the situation in Greece.

Translated from the Arabic Edition.