Foreign exchange rates declined in Tehran’s free market on Tuesday, mostly under the influence of positive reports related to the new round of Iran’s nuclear talks in Vienna.
Eghtesadnews website said the dollar lost 1.66%during the day and was quoted at 289,300 rials in the open market. Bank-affiliated exchange shops, however, sold the greenback at 260,870 rials up 0.75% on Monday.
The euro bought 330,480 rials down 0.44% compared to the day earlier. Melli Exchange, affiliated to Bank Melli Iran, sold the European currency at 301,940 rials, up 0.32%.
The UAE dirham lost 1.65% to be tagged at 79,200 rials. Fluctuations in dirham rates normally affect other major currencies in Tehran and other cities. It is said that the dirham exchange rate to the rial in Dubai determines the dollar rate for the next trading day in Iran.
Key Factor
Long-awaited talks to revive the 2015 nuclear deal began in Vienna on Monday after a six-month delay. Representatives from Iran, China, France, Germany, Russia, and the UK are meeting in the Austrian capital to thrash out a make or break deal and start the process of ending the unilateral US economic sanctions.
Forex rates jumped following the visit of the director general of the International Atomic Energy Agency, Rafael Grossi, to Tehran last week. However, the rise paused today after negotiators expressed optimism over the new round of talks.
"I feel extremely positive about what I have seen today," Enrique Mora, the EU official chairing the talks, said after the first meeting Monday evening.
Mora said that a sanctions work group that was formed during a previous round of talks in April will resume meetings from Tuesday and the nuclear work group will meet a day later.
Mora said Iran had agreed to build on results achieved during the first six rounds of talks, adding that Tehran seeks to incorporate new “political sensibilities” of the President Ebrahim Raisi administration in the high-profile meetings.
In a statement following the talks, the Foreign Ministry in Tehran said Iran’s top negotiator, Ali Bagheri Kani, reemphasized to the participants that Iran is serious about reaching a “fair agreement” that would secure Iran’s legitimate interests.
“So long as the US’ maximum pressure campaign breathes, reviving the JCPOA is nothing more than exorbitant talk,” the negotiator was quoted as saying by Al-Jazeera. He was referring to the Joint Comprehensive Plan of Action, the formal name of the landmark nuclear agreement.
Gold Down
Gold coin prices also fell on Tuesday in Tehran under the influence of the declining forex rates. The Emami gold coin gave up 1.3 million rials or 1.03% to be worth 125.55 million rials.
The Half Bahar Azadi coin lost more than 8.5% to reach 76.5 million rials while the Quarter Bahar Azadi slipped 14% or 7 million rials to close the day at 50 million rials. One gram of 18-karat gold was traded at 12.51 million rials, down 1.48% or 1.84 million rials compared to Monday.
