WesternIPO slump forces PE firms to buy back companies: As investor optimism on IPOs in US and EU markets continues to flounder, private equity firms are looking to re-acquire public companies they owned or held minority stakes in, reports the Financial Times. With share prices in newly-listed companies well below their initial IPO level, firms have cheap purchases on their hands, industry executives said. However, firms reinvesting in companies with one failed IPO will be pressured to improve them if the plan is to relist in the future. “In order to relist, there need to be fundamental changes to the company,” one buyout executive told the salmon-colored paper.

Other stories worth knowing about on this fine fall morning:

#1- AI boom drives the Nasdaq to a 22-month high: The Nasdaq 100 climbed to fresh peaks at the closing bell yesterday, while the S&P 500 closed at its highest since August. Investors rallied ahead of tech giant Nvidia’s earnings results, due to be out today, as well as Sam Altman’s new addition to the team at Microsoft (we’ve covered the story above).

AND- US 10-year yields fell to around 4.4% as investors continued to believe that the Federal Reserve has reached the end of its aggressive tightening cycle after it held rates unchanged at the start of this month.

#2- Oil inched up more than 2% on the back of anticipated OPEC+ supply cuts: Brent crude was up 2.1% at USD 82.32 a barrel, as prolonged production cuts are expected to be announced at an OPEC+ meeting next Sunday. An additional cut of 1 mn barrels per day could also be on the cards for the cartel after oil prices began slumping towards the end of October, the Financial Times reports, citing a source it says is in the know.

EGX30

24,760

-0.6% (YTD: +69.6%)

USD (CBE)

Buy 30.83

Sell 30.96

USD at CIB

Buy 30.85

Sell 30.95

Interest rates CBE

19.25% deposit

20.25% lending

Tadawul

11,119

-0.2% (YTD: +6.1%)

ADX

9,575

0.0% (YTD: -6.2%)

DFM

4,002

+0.2% (YTD: +20.0%)

S&P 500

4,547

+0.7% (YTD: +18.4%)

FTSE 100

7,496

-0.1% (YTD: +0.6%)

Euro Stoxx 50

4,342

0.0% (YTD: +14.5%)

Brent crude

USD 82.32

+2.1%

Natural gas (Nymex)

USD 2.88

-2.6%

Gold

USD 1,980.30

-0.2%

BTC

USD 37,428.44

+1.2% (YTD: +127.0%)

THE CLOSING BELL-

The EGX30 fell 0.6% at yesterday’s close on turnover of EGP 4.1 bn (53.2% above the 90-day average). Regional investors were net buyers. The index is up 69.6% YTD.

In the green: Juhayna (+2.8%), Sidi Kerir Petrochemicals (+2.5%) and E-Finance (+0.8%).

In the red: Talaat Moustafa Group (-3.3%), Egypt Kuwait Holding (-3.2%) and Qalaa Holding (-3.1%).

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