CAIRO: Egypt’s main index rose but is outperformed by the secondary index, which climbed on positive sentiment over Saturday’s appointment of a new bourse chief, traders said.

 

The main index rose 1.4 percent to 6,108 points, while the secondary index climbed 4.5 percent to 561 points, its biggest rise since April 5, 2009.

"EGX70 is leading the market," said Osama Mourad of Arab Finance Brokerage. "[The index] is driven by small and medium cap investors who felt that the previous stock exchange head was acting against their interests."

Egypt’s prime minister appointed Khaled Serry Siam as the chairman of the Egyptian Exchange, replacing Maged Shawky who had headed the bourse since 2005. Both the EGX30 and EGX70 are part of the Egyptian bourse.

"Global positive investor sentiment is supporting the rally," Mourad added.

Among EGX30 big caps, Ezz Steel gained 1 percent and Orascom Construction Industries (OCI) ended 0.6 percent higher. Orascom Telecom rose 0.8 percent. UBS on Thursday upgraded the operator to neutral from sell.

On the secondary index, Ajwa Food Industries climbed 3 percent.

US stock markets gained on Friday on renewed hopes US companies will report strong earnings.