Pre-Trading Thoughts

Al Ahly Pharos

US Federal Reserve starts its two-day policy meeting today. The consensus is that the Fed will go ahead with a second consecutive 75-bps rate hike to control inflation.

Egypt, Jordan, the UAE, and now Bahrain, have identified USD3.4 billion worth of joint investment projects in the first phase of a USD10 billion industrial partnership signed in May.

EGX officials have held a series of meetings with state-owned institutions in a bid to increase the amount of domestic institutional money in the equity market.

PM's economic adviser said that technical talks are ongoing with the IMF, but the two sides have different perspectives, denying any conflict in the talks.

Egypt's CDS rate continued to rise recording 13.75%, an increase of 7.77 ppts since the beginning of the year.

GAFI is looking to drum up interest from Indian investors in sectors including tech, engineering, textiles, and green hydrogen/ammonia.

Orascom Financial Holding (OFH) decided in a board meeting yesterday to sell its 56% stake in Beltone Financial to Chimera Investments.

UAE's Agthia is considering acquisitions in Egypt, as per local media.

Egypt’s pharmaceutical sector is expected to face higher foreign investor interest over the next year.

OLFI's farm will start operations by 2H2023 with a total investment cost of EGP255 mn.

The Egyptian Tax Authority decided that joining the e-invoice platform is going to be a prerequisite for import and export activities, access to the Nafeza platform, and benefiting from export subsidies starting April 2023. (EFIH)

Oppo is currently studying the establishment of a factory to produce mobile devices in Egypt, after completing the feasibility studies and obtaining the necessary licenses.

Weekly commodities update| Last Price WoW Change, %

Brent, USD/bbl 104.2 0.7%

Diesel-HSFO Spread, USD/ton 595.5 -13.7%

Egypt Urea, USD/ton 730.0 -1.4%

Polyethylene, USD/ton 1,290.0 -0.8%

Polypropylene, USD/ton 1,135.0 -4.8%

Steel/Iron Ore Spreads, USD/ton 448.4 -4.0%

Aluminum Cash Price, USD/ton 2,480.5 2.9%

Egyptian Retail Cement, EGP/ton 1,323.0 0.1%

Steam Coal FOB Newcastle Australia, USD/ton 409.2 3.3%

Crude Palm Oil, USD/MT 825.4 -6.1%

SMP, USD/MT 4,063.0 -5.0%