Business And Markets
0

Stocks Open Week on High Note

Stocks Open Week on High Note Stocks Open Week on High Note

Tehran stocks opened trading week Saturday on a strong note as sell-side pressure eased and sentiments buoyed  by new supportive measures announced by the regulator.

The benchmark of Tehran Stock Exchange, TEDPIX, gained 27,466 points to pare 1.76% of earlier losses and finish trading session at 1,583,746 points.

Gainers were mostly large-cap shares in metal, mineral and petrochemical companies, many of them are exporting companies that earn foreign currency.

Led by upbeat performance of blue chips, sell-off pressure eased on many smaller shares as trading drew to a close, causing the equal-weighted index to close a little below the flat line at 0.1%.   

The fragile recovery is said to be mainly due to the supportive measures adopted by the High Council of Securities and Exchange, the top policymaking body, on Thursday to prop up a bearish market that has lost about 30% in little more than a month.

The managing director of the TSE Ali Sahraee confirmed that the bourse council decisions helped in reviving retail investors’ trust in the market.

“Retail investors found prices attractive and contributed to almost 87% of the buying,” he was quoted as saying by IRIB news.

The value of trade also increased to 80 trillion rials ($340 million) for the day -- up 14% compared to a session earlier.

The bourse council on Thursday allowed banks and credit institutions to invest in stocks. In addition, the regulator obliged listed companies to use financial instruments, such as treasury stocks and option contracts. Furthermore, the National Development Fund of Iran, the sovereign wealth fund, was mandated to invest 1% of its annual revenue in the Capital Market Stabilization Fund, a body created in 2017 to help resolve the credit crunch in the bourse.

TSE Trade

About 6.78 billion shares valued at 88.35 trillion rials ($384.16m) changed hands at TSE for the day.

North Khorasan Province Investment Company was the biggest winner as its shares went up 35% to 1,350 rials per share.

North Drilling Company incurred the biggest loss among all TSE-listed companies and went down 19.17% to 14,040 rials per share.

Mellat Bank contributed the most to the benchmark's fall, followed by Islamic Republic of Iran Shipping Lines Company, North Drilling Company and Bahman Group Company.

Persian Gulf Petrochemical Industries Company gave the biggest boost to the benchmark index, followed by Mobarakeh Steel Company, National Iranian Copper Industries Company and Golgohar Mining and Industrial Company.

IFB Up 1.69%

Iran Fara Bourse main index, IFX, gained 279.23 points, or 1.69%, to close Saturday trade at 16,769.18.

About 1.73 billion securities valued at 33.6 trillion rials ($146.05m) were traded at the junior equity exchange for the day.

Iran Office Machines Industries Company, Saman Insurance Company, General Mechanic Company and Tukarail Company had the most negative impact on IFX.

Marun Petrochemical Company gave the biggest boost to IFX, followed by Arya Sasol Polymer Company, Gohar Zamin Iron Ore Company and Esfahan Steel Company.

Highlight: The fragile recovery is said to be mainly due to the supportive measures adopted by the High Council of Securities and Exchange, the top policymaking body, on Thursday

Add new comment

Read our comment policy before posting your viewpoints

Financialtribune.com