Hopes for an IPO resurgence falter on financial turmoil: Global IPOs have raised just USD 19.7 bn so far in 2023 — 70% less than in the same period last year and the lowest since 2019, Bloomberg reports. A January equities rally propelled by China’s reopening and slower rate hikes had raised hopes for a revival of the IPO market, which struggled amid tighter conditions last year. Now, recession worries and turmoil in the banking sector have analysts predicting that IPO activity may not pick up again until markets stabilize and the picture on interest rates becomes clear. With the IPO pipeline blocked, private firms are instead raising funds through secondary offerings and convertible bonds, the business news outlet reports.

Also worth knowing this morning:

  • Money market funds in the United States saw USD 286 bn in inflows this month — their biggest month since 2020 — as investors pull their money from the troubled banking sector. (Financial Times)
  • Copper prices could hit record highs this year: Low global inventories and a rebound in Chinese demand for the metal could see prices surge as high as USD 12k per ton — more than USD 1k more than their 2022 peak — according to commodities trader Trafigura. (Financial Times)

EGX30

15,989

+2.3% (YTD: +9.5%)

USD (CBE)

Buy 30.84

Sell 30.96

USD at CIB

Buy 30.85

Sell 30.85

Interest rates CBE

16.25% deposit

17.25% lending

Tadawul

10,459

+0.1% (YTD: -0.2%)

ADX

9,503

-0.5% (YTD: -6.9%)

DFM

3,349

-0.4% (YTD: +0.4%)

S&P 500

3,971

+0.6% (YTD: +3.4%)

FTSE 100

7,405

-1.3% (YTD: -0.6%)

Euro Stoxx 50

4,131

-1.8% (YTD: +8.9%)

Brent crude

USD 74.99

-1.2%

Natural gas (Nymex)

USD 2.22

+2.9%

Gold

USD 2,001.70

-0.6%

BTC

USD 27,847

+1.5% (YTD: +68.3%)

THE CLOSING BELL-

The EGX30 rose 2.3% at yesterday’s close on turnover of EGP 1.7 bn (18.6% below the 90-day average). Foreign investors were net sellers. The index is up 9.5% YTD.

In the green: Sidi Kerir Petrochemicals (+15.1%), Heliopolis Housing (+13.2%) and AMOC (+9,8%).

In the red: CIRA (-1.7%), Ezz Steel (-1.7%) and Rameda (-1.0%).

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