Egyptian stocks rose to a record closing high in busy trade on Sunday, boosted by news that more than one candidate could contest Egypt's presidential elections, traders said. President Hosni Mubarak said on Saturday that elections for the presidency this year would be open to rival candidates. "The market thinks this move will be welcomed abroad," Yasser Hassanein from Dynamic Securities said. "This will make Egypt's political outlook seem appealing abroad the market thinks more foreigners will come to invest," another trader said.

The benchmark Hermes index ended up 1,851.91 points, or 5.6 percent, at a closing high of 35,243.04 points. The index also hit an all-time high during the session of 35,262.10 points.

The broader CIBC index rose 3.39 points, or 2.4 percent, to 145.67 points.

The traders said investors were showing interest in Orascom Telecom (OT) on expectations of strong results and Oriental Weavers after a brokerage increased its target price on the stock.

The traders said the market expected OT to announce strong 2004 results in the coming weeks. A company official said the firm would issue the results around mid-March. OT last traded up 29.67 Egyptian pounds ($5.12), or 7.9 percent, at 406 pounds.

An analyst at Prime Securities said the brokerage had increased its target price for Oriental Weavers to 96 pounds from 60 pounds after the firm said it would increase prices and introduce new products that use less expensive inputs.

Oriental Weavers, one of the day's busiest stocks, last traded up 8.13 pounds, or 10.6 percent, at 85.07 pounds.

Copyright Reuters, 2005