Egypt's bourse rebounded from a 12-week low on Wednesday after the country reached an initial agreement with the International Monetary Fund for a loan, while Gulf Arab markets were mixed as prolonged violence in Gaza kept investors cautious.
Egypt said on Tuesday that the $4.8 billion deal included an agreement to rein in its state budget deficit with measures including tax changes targeting the wealthy and more careful spending on subsidies intended to help the poor.
"The market is up for the time being because of the preliminary agreement signed with the IMF but I think it will be short-lived," said a Cairo-based trader who asked not to be identified because he was not authorised to speak to the media. Sentiment remains weak with clashes in and around Cairo this week, the trader said.
No comments:
Post a Comment