Egypt up 1.8 pct after Cairo protests pass calmly

Saudi climbs 0.3 pct; Qatar, Bahrain slip

DUBAI, Dec 2, (RTRS): Egypt’s index rose on Sunday, recouping some of last week’s steep losses, after fears of clashes between supporters of President Mohamed Mursi and his opponents over the weekend proved unfounded.

Middle East markets were mixed, with Saudi Arabia up for a third session since Tuesday’s 10-month low, while Kuwait gave back early gains as a post-election bounce proved shortlived.

Egypt’s Mursi on Saturday called a Dec. 15 referendum on a new constitution, hoping to end protests over a decree expanding his powers, as at least 200,000 of his Islamist supporters rallied in Cairo.

Islamist groups demonstrated at Cairo University, avoiding clashes with opponents staging an open-ended sit-in at Tahrir Square, the centre of protests that ultimately forced former president Hosni Mubarak from power.

“There was an aggressive sell-off last week on expectations of bloodshed over the weekend,” said Mohamed Radwan, head of equities at Pharos Securities in Cairo. “The market is making a relief rally, also on the referendum announcement.”

Investors hope the referendum will help soothe political tensions, he added, speaking before the Supreme Constitutional Court postponed its work indefinitely after a protest by Islamists outside its headquarters.

The main index ended 1.8 percent higher after rising by as much as 2.8 percent intraday. It fell 11.6 percent last week.

Orascom Construction Industries climbed 3 percent, tracking gains in its London-listed global depository receipt (GDR), which rose 5.7 percent on Friday.

Commercial International Bank and Ezz Steel were other notable gainers, adding 1 and 2.8 percent respectively.

Kuwait’s index slipped 0.03 percent to 5,942 points, trimming its gains since early November’s eight-year low to 5.2 percent after hitting an intraday high of 6,004.

Kuwaitis voted in a new parliament on Saturday that may prove to be more government-friendly after the opposition refused to stand in the election.

Stocks rallied from the November low as a government fund bought bluechip stocks, leading retail investors to do likewise, but the latter have now cashed in some of these gains.

National Bank of Kuwait fell 1 percent, while telecom operators Zain and Wataniya dropped 2.4 and 0.9 percent. On Sunday, Zain said it had appointed a former Wataniya chief executive as its new CEO.

Saudi Arabia’s benchmark rose 0.3 percent, taking its gains to 3.8 percent since Tuesday’s milestone low.

The benchmark had made a sustained slump following lacklustre third-quarter earnings, worries over Saudi King Abdullah’s health and political turmoil in Egypt.

But oil price gains - November was crude’s first monthly rise since August - and the king’s appearance on state television on Wednesday has helped convince equity investors to buy back into local shares.

Markets in the United Arab Emirates were shut for a holiday.

Egypt

Market index rose 1.8 percent to 4,895 points.

Saudi Arabia

Market index climbed 0.3 percent to 6,708 points.

Kuwait

Market index dipped 0.03 percent to 5,942 points.

Qatar

Market index fell 0.5 percent to 8,359 points.

Oman

Market index climbed 0.4 percent to 5,556 points.

Bahrain

Market index slipped 0.1 percent to 1,048 points.