Cairo, Egypt - Egyptian stocks rebounded on Thursday, with all three major indices finishing up, making up for some of the losses from Wednesday's sharp fall. Shares gained nearly one percent on Thursday, the last day of the five-day trading week, but still closed down for the week, to make for three consecutive overall negative weekly performances, despite the fact global shares had their best show of 2011 last week. Stocks had lost over 2% of their value on Wednesday, on worries over a potential violent Friday, where there are plans by numerous political forces, including the influential Muslim Brotherhood, to stage wide scale demonstrations to call for the correction the path of the January 25th revolution.

Calls range from speeding up the trials of the main figures of the ousted regime of former Egyptian President Hosni Mubarak, to acting on achieving immediate social justice, and to altering the roadmap for democratic transition in the country by writing a new constitution first before the holding of elections as dictated by the ruling Supreme Council of the Armed Forces.

There were again no dominating buying or selling forces on Thursday, as Egyptians and foreigners played to balanced dealings, so did institutions and retail investors.

The main EGX30 index of heavyweight stocks, the preferred target of institutions and foreigners, gained 0.75%.

EGX30 now stands at 5,360 points, less than 300 points below the close of 27 January, when trading was halted for nearly two months at the height of protests that overthrew Mubarak.

The main index lost almost 25% of its value in 2011.

The EGX70 of small and medium shares, the usual preferred target of Egyptian retail investors, was also up on Thursday, gaining 1.39%, as it currently stands at 620 points and is now almost 14% down for the year.

The small and medium share index has outperformed the main index, the favourite of institutions and foreigners, since the resumption of trade in the Egyptian Bourse 23 March, after the 55-day halt during the peaceful January revolution.

This was a testimony to individual Egyptian investors' continuous buying in a show of confidence and trust to what they perceive as their country's post-revolution bright future.

The price weighted index, the EGX100, which is down nearly 18% for the year, rose 0.97%, as it closed at 959 points, 41 points less than the key psychological barrier of 1,000 points.

Total dealings was almost US$ 62 million, while 132 shares rose, 39 fell and 11 finished unchanged.

In the meantime, Egyptian stock market authorities Thursday confirmed that trading will not be halted again in the market for any reason and under no circumstances, after individual investors called for the move to stop big falls ahead of Friday's planned protests in Tahrir Square.

Pana 07/07/2011