Regional stocks solid as Egypt rises

Most Middle Eastern stock markets were firm on Thursday while Egypt rose sharply in active trade on buying of blue chips that was encouraged by strength in emerging markets, generally due to optimism over the Sino-US trade dispute.

The Egyptian blue-chip index rose 1.4 per cent at 13,682 points, far outperforming the broader EGX100, which was almost flat.

Global Telecom gained 3.2 per cent and Edita Food added 7.3 per cent. Orascom Investment Holding rose 2.8 per cent after reporting a profit for its third quarter compared with a loss last year.

Orascom’s board approved the presentation of a tender offer to buy a non-controlling stake in Sarwa Capital at a price of 6.62 or 7.36 Egyptian pounds per share, depending on how many shares are bought. Sarwa gained 5.1 per cent to 6.35 pounds.

Investment bank EFG Hermes Holding gained 1.2 per cent after its third-quarter profit rose 17.5 per cent, and Telecom Egypt added 5.3 per cent after its profit jumped for the same period.

Saudi Arabia’s index was flat at 7,662 points but some petrochemical and bank shares recovered a little after oil prices steadied, having plunged 7 per cent earlier this week.

Al Tayyar Travel rose 1.3 per cent after dropping slightly on the previous day, when MSCI said it would move the stock to a small cap index from its main Saudi index.

Retailer and mall operator Fawaz Abdulaziz Alhokair was up 1.1 per cent; it had risen its 10 per cent daily limit on Wednesday after MSCI decided to add the stock to its Saudi Arabia small cap index.

Abu Dhabi’s index rose 0.7 per cent with First Abu Dhabi Bank adding 0.7 per cent. The stock had gained 2.8 per cent on Wednesday after MSCI decided to double its weight in the MSCI emerging markets standard index.

Etisalat climbed 1.4 per cent and fuel distribution firm Adnoc Distribution added 2.1 per cent after its third-quarter profit jumped 55 per cent.

In Dubai, the index was up 0.1 per cent at 2,779 points as Damac Properties rebounded 1.5 per cent, while Emaar Malls rose 1.6 per cent. Abu Dhabi’s index was up 0.7 per cent at 5,055 points. The Bahrain index slipped 0.1 per cent at 1,309 points and the Omani index was down 0.2 per cent at 4,451.