Egypt sinks as Ezz Steel tumbles; Saudi barely moves

Egypt’s stock market fell in early trade on Thursday as Ezz Steel dropped sharply, while Saudi Arabia’s market barely moved.

The Cairo index sank 1.2 per cent to 8,357 points, heading for a test of major technical support on its May low of 8,261 points.

Ezz slid 6.0 per cent to a fresh 23-month low in heavy trade. It has lost 23 per cent since it reported a net loss of 835.58 million Egyptian pounds ($109.5 million) for 2014 in early June.

On Wednesday a court had denied Ahmed Ezz, the biggest shareholder in the company, the right to appeal a decision banning him from running in parliamentary elections. Such political events have affected Ezz shares in the past.

Saudi Arabia's stock index was flat with activity focusing on second-tier speculative shares; Qassim Agriculture jumped 7.5 per cent. National Industrialisation (Tasnee) sank 1.0 per cent.

Saudi Ground Services Co, a unit of national carrier Saudi Arabian Airlines, surged its 10 per cent daily limit to 55.0 riyals on listing. It raised 2.8 billion riyals ($752 million) in a public offer of a 30 per cent stake at 50 riyals per share.