

Currently released so far... 6230 / 251,287
Articles
Browse latest releases
2010/12/01
2010/12/02
2010/12/03
2010/12/04
2010/12/05
2010/12/06
2010/12/07
2010/12/08
2010/12/09
2010/12/10
2010/12/11
2010/12/12
2010/12/13
2010/12/14
2010/12/15
2010/12/16
2010/12/17
2010/12/18
2010/12/19
2010/12/20
2010/12/21
2010/12/22
2010/12/23
2010/12/24
2010/12/25
2010/12/26
2010/12/27
2010/12/28
2010/12/29
2010/12/30
2011/01/01
2011/01/02
2011/01/04
2011/01/05
2011/01/07
2011/01/09
2011/01/10
2011/01/11
2011/01/12
2011/01/13
2011/01/14
2011/01/15
2011/01/16
2011/01/17
2011/01/18
2011/01/19
2011/01/20
2011/01/21
2011/01/22
2011/01/23
2011/01/24
2011/01/25
2011/01/26
2011/01/27
2011/01/28
2011/01/29
2011/01/30
2011/01/31
2011/02/01
2011/02/02
2011/02/03
2011/02/04
2011/02/05
2011/02/06
2011/02/07
2011/02/08
2011/02/09
2011/02/10
2011/02/11
2011/02/12
2011/02/13
2011/02/14
2011/02/15
2011/02/16
2011/02/17
2011/02/18
2011/02/19
2011/02/20
2011/02/21
2011/02/22
2011/02/23
2011/02/24
2011/02/25
2011/02/26
2011/02/27
2011/02/28
2011/03/01
2011/03/02
2011/03/03
2011/03/04
2011/03/05
2011/03/06
2011/03/07
2011/03/08
2011/03/09
2011/03/10
2011/03/11
2011/03/13
2011/03/14
2011/03/15
2011/03/16
2011/03/17
2011/03/18
2011/03/19
2011/03/20
2011/03/21
Browse by creation date
Browse by origin
Embassy Athens
Embassy Asuncion
Embassy Astana
Embassy Asmara
Embassy Ashgabat
Embassy Ankara
Embassy Amman
Embassy Algiers
Embassy Addis Ababa
Embassy Accra
Embassy Abuja
Embassy Abu Dhabi
Embassy Abidjan
Consulate Amsterdam
American Institute Taiwan, Taipei
Embassy Bujumbura
Embassy Buenos Aires
Embassy Budapest
Embassy Bucharest
Embassy Brussels
Embassy Bridgetown
Embassy Bratislava
Embassy Brasilia
Embassy Bogota
Embassy Bishkek
Embassy Bern
Embassy Berlin
Embassy Belgrade
Embassy Beirut
Embassy Beijing
Embassy Banjul
Embassy Bangkok
Embassy Bandar Seri Begawan
Embassy Bamako
Embassy Baku
Embassy Baghdad
Consulate Barcelona
Embassy Copenhagen
Embassy Conakry
Embassy Colombo
Embassy Chisinau
Embassy Caracas
Embassy Canberra
Embassy Cairo
Consulate Curacao
Consulate Ciudad Juarez
Consulate Chennai
Consulate Casablanca
Consulate Cape Town
Embassy Dushanbe
Embassy Dublin
Embassy Doha
Embassy Djibouti
Embassy Dhaka
Embassy Dar Es Salaam
Embassy Damascus
Embassy Dakar
Consulate Dubai
Embassy Kyiv
Embassy Kuwait
Embassy Kuala Lumpur
Embassy Kinshasa
Embassy Kigali
Embassy Khartoum
Embassy Kathmandu
Embassy Kampala
Embassy Kabul
Consulate Kolkata
Embassy Luxembourg
Embassy Luanda
Embassy London
Embassy Ljubljana
Embassy Lisbon
Embassy Lima
Embassy Lilongwe
Embassy La Paz
Consulate Lagos
Mission USNATO
Embassy Muscat
Embassy Moscow
Embassy Montevideo
Embassy Monrovia
Embassy Minsk
Embassy Mexico
Embassy Mbabane
Embassy Maputo
Embassy Manama
Embassy Managua
Embassy Malabo
Embassy Madrid
Consulate Munich
Consulate Mumbai
Consulate Montreal
Consulate Monterrey
Consulate Milan
Embassy Pristina
Embassy Pretoria
Embassy Prague
Embassy Port Au Prince
Embassy Phnom Penh
Embassy Paris
Embassy Paramaribo
Embassy Panama
Consulate Peshawar
REO Basrah
Embassy Rome
Embassy Riyadh
Embassy Riga
Embassy Reykjavik
Embassy Rangoon
Embassy Rabat
Consulate Rio De Janeiro
Consulate Recife
Secretary of State
Embassy Stockholm
Embassy Sofia
Embassy Skopje
Embassy Singapore
Embassy Seoul
Embassy Sarajevo
Embassy Santo Domingo
Embassy Santiago
Embassy Sanaa
Embassy San Salvador
Embassy San Jose
Consulate Strasbourg
Consulate Shenyang
Consulate Shanghai
Consulate Sao Paulo
Embassy Tunis
Embassy Tripoli
Embassy Tokyo
Embassy The Hague
Embassy Tel Aviv
Embassy Tehran
Embassy Tegucigalpa
Embassy Tbilisi
Embassy Tashkent
Embassy Tallinn
Consulate Tijuana
USUN New York
USEU Brussels
US Mission Geneva
US Interests Section Havana
US Delegation, Secretary
UNVIE
Embassy Ulaanbaatar
Browse by tag
ASEC
AF
AE
AR
AORC
AJ
AU
AM
ABLD
AL
AMGT
ASUP
AFIN
APER
ABUD
AVERY
APCS
AEMR
ADCO
APECO
ASIG
AG
AA
AS
AFFAIRS
ASECKFRDCVISKIRFPHUMSMIGEG
AMED
AO
ACOA
AX
AROC
ATFN
ASEAN
AFGHANISTAN
AFU
AER
ALOW
AODE
ATRN
AID
AC
AGMT
CH
CO
CS
CE
CU
CLINTON
CG
CVIS
CMGT
CI
CJAN
CF
COM
CASC
CA
CBW
CM
CDG
CR
COUNTER
CD
CWC
CKGR
CN
CPAS
CJUS
CV
CONS
CT
CY
COUNTERTERRORISM
CIA
CACM
CDB
CAN
COE
COUNTRY
CLEARANCE
CACS
CONDOLEEZZA
CARSON
CL
CIS
CODEL
CTM
CB
ECON
EFIN
EAIR
EUN
EINV
ENRG
EG
ETRD
EPET
ETTC
ELAB
EU
ER
ET
EAGR
ECPS
ECIN
ELTN
EAID
EMIN
EWWT
EFIS
EIND
EC
ES
EN
EI
ENVR
ENGR
ENIV
EUNCH
ENVI
ETRDEINVECINPGOVCS
ELN
EZ
EXTERNAL
EINVECONSENVCSJA
EINT
EUR
ECINECONCS
ENNP
EFINECONCS
EK
ELECTIONS
ECUN
EINVEFIN
ECIP
EINDETRD
EUC
EREL
ECA
ENERG
ENGY
ETRO
EFTA
ECONCS
ECONOMICS
ECONEFIN
EINVETC
EINN
ESA
ETC
ETRDEINVTINTCS
ESENV
ETRDECONWTOCS
IN
IC
IR
IZ
IS
IAEA
IT
ICTY
IO
IA
IWC
ID
ICRC
ILC
INTELSAT
IMO
ISRAELI
IACI
ILO
ITRA
IBRD
IMF
ICJ
ICAO
ITALY
ITALIAN
IRAQI
INTERPOL
IV
IQ
IPR
INRB
ITPHUM
IIP
IL
INR
ITPGOV
IZPREL
IRC
INRA
INRO
IRAJ
IEFIN
IF
KDEM
KCRM
KJUS
KTIA
KWBG
KPAL
KIPR
KTIP
KE
KNNP
KGHG
KICC
KV
KTFN
KU
KCFE
KDRG
KWMN
KSCA
KGIC
KCOR
KFRD
KPKO
KSUM
KPRP
KPAO
KBCT
KIRF
KCFC
KISL
KREC
KSPR
KHIV
KBIO
KMCA
KMPI
KFLU
KSTH
KBTR
KS
KOMC
KOMS
KSEP
KPRV
KFLO
KHLS
KN
KWWMN
KUNR
KLIG
KSTC
KZ
KG
KRAD
KOLY
KTBT
KTDB
KOCI
KAWK
KCIP
KNPP
KWAC
KMDR
KAWC
KIDE
KSAF
KX
KWMNCS
KNEI
KCRS
KVPR
KFRDKIRFCVISCMGTKOCIASECPHUMSMIGEG
KACT
KO
KFSC
KR
KPWR
KMIG
KSEC
KIFR
KDEMAF
KFIN
KGCC
KPIN
KPLS
KIRC
KFRDCVISCMGTCASCKOCIASECPHUMSMIGEG
KGIT
KBTS
KERG
KWMM
KRVC
KNSD
KVIR
KNUP
KTER
KDDG
KHSA
KMRS
KHDP
KTLA
KPAK
KNAR
KREL
KPAI
KTEX
KCOM
KNNPMNUC
KPOA
KRFD
KHUM
KDEV
KNUC
MOPS
MARR
MASS
MNUC
MO
MX
MCAP
ML
MTCRE
MR
MP
MY
MU
MIL
MAR
MC
MRCRE
MTRE
MA
MEPI
MV
MPOS
MD
MZ
MEPP
MOPPS
MAPP
MASC
MT
MERCOSUR
MK
MDC
MI
MAPS
MCC
MASSMNUC
MQADHAFI
MUCN
MTCR
MG
OREP
OVIP
OFDP
ODIP
OPDC
OAS
OTRA
OSCE
OECD
OIIP
OEXC
OPCW
OPIC
OPRC
OVP
OSCI
OTR
OSAC
OIC
OFFICIALS
OIE
PHUM
PREL
PGOV
PREF
PTER
PARM
PBTS
PINR
PINS
PHSA
PK
POL
PM
PINT
PE
PINF
PEL
PA
PARMS
PO
PLN
PROP
PALESTINIAN
PAO
PL
POV
PG
POLITICS
PEPR
PSI
PSOE
PU
POLITICAL
PARTIES
PBIO
PECON
PAK
POGOV
PINL
PKFK
PMIL
PY
PFOR
PHALANAGE
PARTY
PRAM
PMAR
PGOVLO
PUNE
PORG
PHUMPREL
PF
POLINT
PHUS
PGOC
PNR
PGGV
PNAT
PGOVE
PRGOV
PRL
PROV
PTERE
PGOF
PHUMBA
SENV
SY
SZ
SOCI
SO
SR
SNAR
SA
SP
SW
SMIG
SU
SCUL
SC
SAN
SN
SL
SG
SYR
SEVN
SF
SI
STEINBERG
SIPRS
SH
SNARCS
SOFA
SANC
SHUM
SK
ST
TRGY
TU
TBIO
TH
TS
TSPL
TT
TPHY
TSPA
TI
TK
TIP
TERRORISM
TZ
TX
TW
TD
TP
TC
TO
TNGD
TINT
TRSY
TR
TFIN
TURKEY
UK
UNGA
UN
UNHRC
UNMIK
UNO
UZ
UNSC
UP
UG
UNHCR
UNDC
US
UNAUS
USTR
UV
UNEP
UY
UNESCO
USUN
UAE
USEU
UNDP
UNCHS
UNVIE
UNCHC
UE
UNDESCO
USAID
Browse by classification
Community resources
courage is contagious
Viewing cable 09CAIRO1929, EGYPT'S EQUITY MARKET: IS THERE MORE ROOM TO RUN?
If you are new to these pages, please read an introduction on the structure of a cable as well as how to discuss them with others. See also the FAQs
Understanding cables
Every cable message consists of three parts:
- The top box shows each cables unique reference number, when and by whom it originally was sent, and what its initial classification was.
- The middle box contains the header information that is associated with the cable. It includes information about the receiver(s) as well as a general subject.
- The bottom box presents the body of the cable. The opening can contain a more specific subject, references to other cables (browse by origin to find them) or additional comment. This is followed by the main contents of the cable: a summary, a collection of specific topics and a comment section.
Discussing cables
If you find meaningful or important information in a cable, please link directly to its unique reference number. Linking to a specific paragraph in the body of a cable is also possible by copying the appropriate link (to be found at theparagraph symbol). Please mark messages for social networking services like Twitter with the hash tags #cablegate and a hash containing the reference ID e.g. #09CAIRO1929.
Reference ID | Created | Released | Classification | Origin |
---|---|---|---|---|
09CAIRO1929 | 2009-10-08 16:04 | 2011-02-16 21:09 | UNCLASSIFIED | Embassy Cairo |
VZCZCXYZ0023
PP RUEHWEB
DE RUEHEG #1929/01 2811654
ZNR UUUUU ZZH
P 081654Z OCT 09
FM AMEMBASSY CAIRO
TO RUEHC/SECSTATE WASHDC PRIORITY 3804
INFO RUEATRS/DEPT OF TREASURY WASHDC PRIORITY
RUCPDOC/DEPT OF COMMERCE WASHDC PRIORITY
UNCLAS CAIRO 001929
SIPDIS
DEPT FOR NEA/ELA
TREASURY FOR BRYAN BALIN AND FRANCISCO PARODI
E.O. 12958: N/A
TAGS: ECON EAID EFIN EINV EG
SUBJECT: EGYPT'S EQUITY MARKET: IS THERE MORE ROOM TO RUN?
REF: CAIRO 1927
1.(U) KEY POINTS - The Egyptian stock market has been a strong performer in 2009. The large cap index is up over 45% and the broader index is up nearly 100%. - Optimism about the Egyptian economy along with continued low commodity prices have been catalysts for buyers of Egyptian equities. - Much of the good news and speculative foreign demand may already be priced into the market. The remainder of the year should see a greater level of volatility in the market. ------------------ A Good Year So Far ------------------
2.(U) The Egyptian large-cap EGX 30 (formerly the CASE 30) index is up more than 45% since the beginning of the year and close to 100% from its low in February 2009. This is on par with the return of the Israeli TA-25 index and a far better performance than any of the markets of the other regional Arab states. The broader EGX 70 index is up almost 100% year-to-date. Real estate and construction stocks have been the sector leaders and have nearly doubled so far this year because of continued demand and lower raw materials prices. Other sectors outperforming the index include financial services, travel and leisure, and banks. Average monthly trading volume on the Cairo exchange in 2009 has been LE31 billion (US$5.6 billin), down about 30% from 2008.
3.(U) There are everal factors driving demand for Egyptian equites. First is that there is increased global liquidity and a stronger appetite for emerging market equities, some of which is flowing into Egyptian stocks which are seen as having a relatively favorable risk-reward ratio. Second is that prices still appear to be cheap having fallen 56% in 2008 and ending the year 61% off its yearly high. Also contributing to demand are lower interest rates combined with sustained (though far lower than last year) GDP growth. Indications of economic recovery in Egypt's European export markets have also contributed to a level of bullishness on Egypt's economic future. -------------------------- The Future is Not So Clear --------------------------
4.(SBU) Mark Rorison, Head of Research for CI-Capital Research, told us that the performance of Egypt's stock market this year has been driven by and has closely mimicked the performance of the US stock market. While he is very upbeat on the mid to long term prospects of the Egyptian economy, he feels that short term performance of the Egyptian equity market does not necessarily reflect fundamentals of the Egyptian economy.
5.(U) There is no denying that some sectors, particularly those that are driven by domestic demand and/or benefit from lower commodity prices will continue to do well relative to the index. Global equity trends also contribute to the mix, and global fund managers who have had a good run so far this year, may look to take some profits off the table. Egypt is also a relatively small market both in terms of market capitalization and share float. As the events of the last few years have shown, money flows both ways. In emerging stock markets, liquidity fears can spur panic selling and a run for the door. ------- Comment -------
6.(U) After a disastrous year in 2008, Egyptian stocks really had nowhere to go but up, and money has flowed into the Egyptian market this year. As we reported (reftel), there is much optimism about the performance of Egypt's economy in the face of the global economic downturn. Much of this has already been priced into Egyptian equities. In the Egyptian case, stock market performance may not be as clear of a leading economic indicator of corporate performance as in other countries. There is a lot that could go right (increased FDI, quick turnaround in the economies of key trading partners, stimulus driven growth), but a lot could go wrong as well (sharp increases in commodity prices, further erosion of fiscal discipline, challenges in attracting needed infrastructure investment). There is probably still room both fr additional speculative investment in selected copanies and sectors that are expected to outperfom over the next few years, but we expect to see ncreased volatility in Egyptian markets as both domestic and international sentiment continue to sift rapidly through the remainder of the year. Sobey