Egypt's index advances, shrugging off parliament tussle

Egypt's benchmark index advances 1.8 percent on Wednesday as investors shrug off a challenge to the military by the Islamist-led parliament, which reconvened on Tuesday despite the generals having dissolved it last month.
The supreme court swiftly ruled that newly elected, Islamist President Mohamed Mursi had acted illegally in summoning the assembly, heightening a confrontation between the head of state and an establishment that once served Hosni Mubarak.
"Most investors are ignoring the political events of yesterday," says Shamel Fahmy of Pharos Securities. "There is good appetite for quality names such as OCI. Some investors are fleeing to value stocks."
Orascom Construction Industries (OCI) gains 1.5 percent, Commercial International Bank (CIB) 6 percent and Palm Hills 2 percent.
The index tumbled 4.2 percent on Monday after Mursi first ordered parliament to reconvene, but recouped some of the decline on Tuesday. Saudi Arabia's index declines for a fourth day to slump to a two-week low as investors give a mixed reaction to a swathe of bank earnings that were in line or exceeded analyst estimates.
Saudi Hollandi Bank climbs 1.9 percent after its second-quarter profit rose 26.2 percent due to higher operating income and lower costs. Al Rajhi Bank, the Gulf's largest listed lender, drops 0.3 percent. Its quarterly profit rose 13.6 percent, in line with forecasts. Late selling pressure weighs on SABB, which ends 0.3 percent lower despite posting an estimate-beating 7.4 percent increase in quarterly profit. The main index drops 0.8 percent to 6,660 points, its lowest finish since June 27. Dubai mortgage lender Tamweel is the main drag as the emirate's index ends lower for a fourth day. Tamweel drops 3.1 percent, its lowest close since July 3. The lender's second-quarter net profit dipped to 18.6 million dirhams ($5.06 million), down 33 percent from the year-earlier period.
The benchmark falls 0.6 percent to 1,480 points, a nine-day low.
Abu Dhabi's index finishes 0.4 percent lower at 2,465 points. Aldar Properties and Sorouh Real Estate are the main drags, dipping 0.9 and 1 percent respectively. In Qatar, the index ends 0.4 percent lower at 8,242 points. Large-caps weigh, with Qatar National Bank and Industries Qatar (IQ) each dropping 0.6 percent. Elsewhere, Kuwait's bourse ends 0.3 percent higher at 5,868 points.