Egypt rebounds after army speech

Egyptian shares rebounded on Wednesday, buoyed by efforts of a ruling military council to defuse political tensions, and advancing global stocks also helped lift Gulf markets.

Cairo's main index .EGX30 rose 2.4 percent, after hitting a two-month low on Tuesday on concerns that anti-government protests would escalate.

"Sentiment has been partially restored towards Egyptian stocks, boosted by the statement of the army," said Hisham Metwally of Arab Finance Brokerage.

Developer SODIC (OCDI.CA: Quote) led gainer, surging 10 percent, while Palm Hills (PHDC.CA: Quote) climbed 6.1 percent and real estate firm Talaat Moustafa (TMGH.CA: Quote) rose 2.6 percent.

"There was institutional buying in the last half hour of yesterday's (Tuesday) session, lifting the big caps. Government funds have poured new cash into the market," Metwally said.