The Tehran Stock Exchange closed trading day in positive territory amid rising demand for bank and auto stocks.
After a two-day lukewarm performance, the main TSE index soared on Wednesday to conquer a new peak. TEDPIX hiked 2,700 points to close trading session at 233,000.
Stocks were buoyed more by the performance reports of some banks published on Codal - an information website created for instant official publication of corporate data and news.
According to the Donyaye bourse website, the reports imply hikes in the foreign exchange parity rates, which naturally add value to banks’ foreign exchange assets.
Tejarat Bank said the forex parity rate for its assets has been calculated based on the rates quoted in Nima (Integrated Forex Deals System) last fiscal (March 2018-19). Nima is a platform where non-oil export foreign currency is traded.
The Nima rate during the second half of the previous fiscal was about 86,000 rials to the US dollar, which is more than double the current government subsidized rate of 42,000 rials.
Codal data indicates that Tejarat Bank has been able to reduce its net losses from 25.4 trillion rials ($200 million) in mid-December to 5.1 trillion rials.
Bank Saderat Iran net loss dropped 62% by the end of previous fiscal in March (compared to December of last year) to reach 7.6 trillion rials.
European shares pulled back from three-week highs on Wednesday. The pan-European Stoxx 600 dropped 0.4% during the morning session, oil and gas stocks leading losses with a 1.5% decline, while banks fell 1.2%. Media stocks were the strongest performer with a 0.7% gain.
Asian stocks slid Wednesday after Wall Street ended a 6-day winning streak overnight, with China’s consumer price index rising 2.7% year-on-year. Hong Kong’s Hang Seng index led losses with a 1.59% drop.
Market Performance
TEDPIX gained 2,735.20 points or 1.19% on Wednesday to end trading at 233,352.7.
More than 5.9 billion shares valued at 17.51 trillion rials ($133.17 million) changed hands for the day.
Trading at TSE and Iran Fara Bourse starts on Saturday and ends Wednesday.
Niroo Mohareke Company was the biggest winner as its shares went up 11.56% to 4,479 rials per share.
Niroo Moharrke manufactures different types of manual gearboxes for passenger cars with production capacity of 2000 units per day.
Dasht Morghab Company incurred the biggest loss among all TSE-listed companies and went down 4.58% to 45,515 rials per share.
Dasht Morghab Company is a manufacturer and exporter of canned food such as, jams, tomato paste and tuna fish.
Mobile Telecommunication Company of Iran gave the biggest boost to the benchmark index, followed by Bank Mellat, Mapna Group and the Telecommunication Company of Iran.
Khouzestan Steel Company contributed the most benchmark's fall followed by Mobin Petrochemical Company and Parsian Oil and Gas Development Group Co.
The Price Index gained 774.95 points to close at 66,110.3. First Market Index was up 2,048.24 points to post 172,939.2.
Second Market Index increased by 5,294.91 points to reach 459,670.9. The Industry Index went up by 1,995.63 points to register 208,362.6.
Free Float Index was up 2,885.97 points to register 264,059.40.
The TSE 30 went up 112.90 points to settle at 10,550.8 and the TSE 50 gained 106.77 points lower to finish at 9,412.8.
Iran Fara Bourse’s main index IFX rose 0.66% to close Wednesday trade at 2,956.96 points.
Over 2.98 billion securities valued at 10.03 trillion rials ($76.34 million) were traded at the junior exchange for the day.
