EFG-Hermes Halted in Cairo After Surging 10% on Revenue Outlook

CAIRO (Capital Markets in Africa) — Egyptian investment bank EFG-Hermes halted after rising 10% to 8 1/2-year-high in Cairo, leading gains among 30 members of EGX 30 benchmark, as investors see continued benefit from dollar revenue and pick-up in brokerage business, says Sherif Shebl, an equities trader at Pharos Holding for Financial Investments.

• Stock suspended for 30 minutes after trading above 5%, under rules of exchange
• Advance supported by “high exposure to dollar; plus market volume increased significantly, which will affect its operations positively and will generate more revenues,” Shebl says in e-mailed message
• Stock set for highest close since June 25, 2008 and biggest gain since March
• Biggest contributor to EGX 30 1.4% advance
• 14-day RSI rose to 86; stock has been trading above level of 70 seen by some investors as indicating it is due for a decline for past 13 sessions