Volatility in the Egyptian Stock Market
Despite clashes in Egypt last week that resulted in over 40 deaths, Egypt’s first parliamentary election since the Mubarak era is progressing surprisingly smoothly. Polling places have not seen predicted violence and unrest since voting began on Monday, and independent monitors believe that voter turnout in this phase of the election “could easily rise above 50 percent.” The Egyptian stock market has also moved in tandem with the country’s recent political developments. Last week, stocks plunged amid uncertainty created by massive protests and violent crackdowns; on November 22, the EGX100 index dropped precipitously—about 5.4 percent—triggering an hour-long suspension of trading. However, Egypt’s stock indices rallied today in response to investor relief over relatively stable elections. This time, rapid gains in the EGX100 (5.01 percent) were enough to again suspend trading briefly. Read more »











