Currency and gold prices retreated slightly from the recent highs as the market opened on Monday after the two-day public holiday.
The US dollar shed more than 0.6% or 2,000 rials to change hands at 315,300 rials at Tehran’s free market. The euro lost 0.5% to buy 339,200 rials and the GBP was down 0.8% at 398,800 rials. The UAE dirham was worth 86,400 rials, down 0.46% on the session before.
The market apparently is reacting to the weekend report that the government has given additional authority to the Central Bank of Iran to intervene in the chaotic forex market.
Late on Thursday, the High Council of Economic Coordination, ad hoc decision-making body comprising the heads of the three branches of power, gave the CBI additional power to restore calm to the currency market.
In the same vein, Ali Salehabadi, the CBI governor said that the central bank will strive to balance forex demand and supply by boosting the supply side.
Despite the pause in the unofficial currency market, the CBI tried to push up prices in the official exchange shops. The greenback was quoted at 261,840 rials in the regulated forex market, up 0.77% on the earlier session.
The market is a CBI-affiliated spot market operated by a network of banks and certified moneychangers dealing in wholesale currency.
Prices in the exchange bureaus affiliated to the CBI rose with the dollar at the Melli Exchange quoted at 262,329 rials -- 0.7% higher on Thursday’s close.
As anticipated, the domestic bullion market followed suit and prices dropped. The Emami gold coin fell below the critical 150 million rials and closed at 149.9 million rials, down 0.5% or 700,000 rials compared with the session before.
Half Bahar Azadi coin was almost unchanged and sold for 85.5 million rials and one gram of 18-karat gold was quoted at 14.28 million rials, down 0.1% on the previous session.
Gold prices were steady in world markets on Monday, after dropping about 1% in the previous session. Spot gold was flat at $1,850.60 per ounce while US gold futures were up 0.2% at $1,853.60, Reuters reported.
