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00:00 We will now go to the market movement with my guest from Cairo, Rania Yaakoub, the president of the board of directors of 3way, who handles the financial documents.
00:08 Welcome Rania. What happened today that led CIP to withdraw in this way and what was the reason for the withdrawal of EGX30?
00:24 Good evening and welcome Rania. The Egyptian market is still moving in recovery or correctional processes after the strong rise that rose in the past two years.
00:34 These are considered the first real profit-making processes, but despite this, the Egyptian indicator market was able to close the first quarter of this year at a high of about 8% despite the profit-making processes.
00:48 All the movements that we see in the Egyptian market between rising and falling, we always see the process of taking advantage of investors.
00:56 This is what makes us see the process of rising returns, gain and profits, all of which are short-term strike operations.
01:02 But so far, most of the leading stocks are still maintaining their upward trend. We still see that there is a takeover of opportunities.
01:10 Whenever we see the process of falling, we always notice a share in the support areas. So far, the market has maintained its levels above 24,300.
01:20 These are considered safe levels for individual investors.
01:24 Some do not describe what happened in the Egyptian market as a profitable year. They describe it as a strong recovery and a reason to return to the differences in the exchange rate.
01:33 Despite the fact that the exchange rate was weakened, the Egyptian market is starting to see a recovery and a return on investment.
01:41 This is similar to the prices that were paid by those who carried the dollar, and today, the real price.
01:47 To what extent will we continue to see this fluctuation until the market adjusts and has a new price base to start on?
01:58 Perhaps, over the past two years, the Egyptian market has been rising because of the same idea that you have just mentioned,
02:04 which is that individual investors have always rated the stocks according to the value and movement of the exchange rate in the equilateral market.
02:11 At that time, there was a very big gap between the official price and the unofficial price, which reflected the expectations of individual investors.
02:20 However, with the measures taken by the Central Bank, we are starting to see that this gap is closing and we are starting to see a stability in the exchange rate.
02:31 The expectations of investors are starting to change.
02:34 Instead of relying on the exchange rate, today, with the existence of a security awareness, the banks have a 30% high interest rate.
02:42 I think this may have attracted the attention of some individual investors, which led to the exit of some liquidity from the Egyptian market towards the stock market awareness,
02:52 as well as the profit margin operations, as well as the revaluation of some of the reserves from the investors.
02:59 But let me tell you that this period of every year is considered a period of calm for the market and a period of profit margin that we are used to.
03:07 Maybe until May, and we will start to see in July, the Egyptian market will enter a process of accumulation,
03:12 preparing to rise in the last quarter of the year, and the highest rates for the rise of the Egyptian market are in the last quarter of the year, January and mid-February.
03:21 Therefore, what happens in the Egyptian market is expected.
03:24 The Egyptian market still has qualifications that qualify it for the rise, but with different parameters than the valuation of the currency prices,
03:31 which are the money that will enter from direct foreign investment, whether in a large and huge project like the "Head of Wisdom",
03:38 which is expected to enter the Egyptian economy's net worth of about $150 billion, all of which are pumped into several industries and several sectors.
03:47 This will affect the performance of these companies.
03:50 These are the different parameters that can support the rise of the market until the end of this year.
03:55 Let's talk about some of the stocks, such as Biltone, and what do you think about its behavior, and when will the market continue to deal with it?
04:02 It is still active, but today it has some of the profits.
04:08 Where is the stock going?
04:10 From the technical point of view, the Biltone stock is going through a very strong accumulation phase in the region of 3.35 EGP, 3.55 EGP.
04:21 We have levels of 3.70 EGP, which is considered resistant, and 3.90 EGP, with the break of these areas.
04:27 We expect that the stock will target new levels, but so far we are still saying that these accumulation processes are considered positive accumulation processes.
04:35 In general, the Biltone stock or the Biltone company, we expect that we see its profit percentages or its budget achieve good profit rates.
04:46 This is a good thing, because it supports the direction of investors or the direction of the investment market in this company.
04:52 We always say that investment in this kind of companies needs a long breath and a long term to achieve the results of this investment.
05:01 Rania, the presidential election today was very important for the sustainability of economic reform programs.
05:08 How much did the constitutional right performance of President Abdel Fattah El-Sisi in the Parliament reflect on the performance of the stock and the future of foreign investments with the sustainability of the existence of reform programs in Egypt?
05:23 The presidential election today was very important not only for the Egyptian stock market, but also for the Egyptian economy, and for investors and the world's view of political and economic stability in Egypt.
05:42 In fact, the existence of plans and known and announced directions today is a matter of concern and anticipation, but we are now waiting for ministerial reforms.
05:58 This is a very important matter for investors, especially economic facts that attract the attention of investors, whether local or foreign, especially that these facts will be a responsibility for the next period and a great burden in implementing the directions that the president was talking about and the plans that the government and the Egyptian state support.
06:22 Thank you very much, Rania.
06:24 Thank you, Yaacoub, for this interview.