Egypt's main index rises

Egypt's main index recoups part of Monday's sharp decline, rising 0.7 percent as investors wait to see if the military leadership will challenge a move by the country's new president to recall the parliament it dissolved.

Parliament met unopposed by the generals on Tuesday after President Mohamed Mursi recalled the lower house. The speaker said the assembly would seek its own way to implement a top court's ruling that had declared it void.

"I don't think people are overcooking the importance of this," says Teymour el-Derini of Naeem Brokerage. "When an executive power overrules a judicial power then you're in a stalemate."

The index slid 4.2 percent on Monday, its biggest drop in three weeks, but Derini said trading volume was not massive.