Egypt's market plummets after president's decree

Nov 28, 2012, 11:51 AM EST

Tens of thousands people take part in a mass rally against a decree by President Mohamed Morsi granting himself broad powers on November 27, 2024 at Egypt's landmark Tahir Square in Cairo. Clashes between police and protesting youths erupted near Cairo's Tahrir Square, ahead of the demonstration. The planned demonstrations come a day after Morsi stuck by his controversial decree in a meeting with judges that was aimed at defusing the worst political crisis since his election in June.

AFP/Getty Images/Gianluigi Guercia

CAIRO (AP) — Egypt's benchmark stock index has plunged again in the second major drop since Islamist president Mohammed Morsi issued decrees to assume far-ranging powers.

Wednesday's drop of 4.6 percentage points was the latest sign of the impact of President Mohammed Morsi's decrees on Egypt's already battered economy. His move set off a wave of unrest, including a 200,000-strong demonstration in Cairo.

The latest drop on the Egyptian Exchange's EGX30 came after market shares plunged by close to 10 percent on Sunday. That was the biggest loss since the period following the ouster of longtime President Hosni Mubarak in February 2011 after a popular uprising.

Sunday's loss in share value was estimated at close to $5 billion.

A year and a half of turmoil has decimated tourism and foreign investment in Egypt.

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