Egyptian Shares Gain Most in Seven Weeks After 4.5% Drop, Global Advance - Bloomberg

Egypt’s shares soared the most since August on bets last week’s drop was overdone given the outlook for earnings and after global markets rallied amid optimism European leaders will tame the debt crisis.

Commercial International Bank Egypt SAE (COMI), the country’s biggest publicly traded lender, advanced 2.5 percent and Egyptian Financial Group-Hermes Holding (HRHO) advanced the most in almost two weeks after they were raised at AlembicHC. The EGX 30 Index rallied 1.9 percent, the most since Aug. 17, to 4,028.71 at the 2:30 p.m. close in Cairo. The measure slumped 4.5 percent last week. Egypt’s stock market was closed Oct. 6 for a holiday. The Bloomberg GCC 200 Index (BGCC200) gained 0.5 percent.

“The selling was definitely overdone,” said Wafik Dawood, director of institutional sales at Cairo-based Mega Investments Securities. “But this is classic in times of uncertainty; the global backdrop was not helping.”

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