12051
TEDPIX Nosedives, Trade Volume Surges
Economy, Business And Markets

TEDPIX Nosedives, Trade Volume Surges

The Tehran Stock Exchange (TSE)’s overall index tumbled at Wednesday close to record its fourth consecutive downtrend, though veteran investors garnered heavily devalued shares, with trade volume registering almost 80 percent growth compared to the prior trading day.
TSE’s new record low, was accompanied by selloffs, though some individual and institutional investors managed to snap up bargains, with most listed companies offering their lowest average Price Earnings (P/E) ratios within the past 17 months.
According to TSE data, the benchmark plummeted 474.1 points or 0.73 percent to settle at 64,051.7 to underline the unofficial upbeat news regarding the nuclear talks between Iran and the P5+1 group.
The first market index retreated 450.3 points or 0.94 points to end at 47,439.8. The second market index slipped 266.7 points or 0.21 percent to close at 124,295.3. The free float index plunged 627.8 points or 0.85 percent to stand at 73,000. The industry index was down 401 points or 0.74 percent to finish at 53,643.4, and the blue-chip index eked 21.2 points or 0.73 percent to 2,865.1.
As stocks keep hitting rock-bottom values, with some shares being traded below their nominal values, despite skittish traders, institutional investors are tracking the most lucrative shares like Mobarakeh Steel Company’s stakes, which have had a downbeat performance, and topped crucial laggards on Wednesday.
Close to 800 million shares changed hands, valued at 1.64 trillion rials, which highlighted tangible growth both in trade volume and value.
Mobile Telecommunication Company of Iran with a 22.14 points positive contribution topped all positive contributors; however other listed companies that managed to give a lift to the TEDPIX fell short of contributing more than 3.5 points.
The lackluster trades at the TSE saw more than 80 percent of listed firms pushing the gauge to settle in red. Mobarakeh Steel Company with close to 69.19 points negative contribution, dragged down the benchmark to earn the title of the biggest market laggard. Telecommunication Company of Iran, along with Mapna Group, with almost 60 and 55 points took the second and third place respectively.
Stock market’s massive pullback has triggered alarm for market activist, however, some analysts suggest the stock market corrections of the past few months may be considered rock bottom for the meantime, but few, if any, foresee anything but volatility ahead, given the nuclear talks failure  to bear fruit.
As unsettled investors are trimming their expectations due to the uncertainties surrounding the lingering nuclear talks, official measures aimed at tackling the equity market challenges have failed to give a lift to the benchmark.
Modifying regulations on mining royalties, with the recently revealed news on a five percent decline on royalties, failed to stimulate the mining sector, which is an important contributor to gross domestic product (GDP).
Moreover, the government’s prudent economic policies along with the Securities and Exchange Organization (SEO)’s measures also failed to wipe out even part of the recent unprecedented retreat.
The TSE gauge has nosedived almost 2.3 percent since February 1, with no remedies in sight to alleviate the investors’ great loss, though market analysts recommend that it is unlikely to witness more retreat at the equity market.

Short URL : http://goo.gl/hPF8hA

You can also read ...

Decline in Forex  Rates Expected
While the foreign exchange rates are still considered bullish...
Economic War on Iran Is War on Eurasia Integration
Hysteria reigned supreme after the first round of US sanctions...
German Rail Operator, Deutsche Telekom End Iran Projects
German rail operator Deutsche Bahn and Deutsche Telekom are...
Emirati Paper: Baghdad Expected to Maintain Strong Economic Ties With Tehran
Iraq’s ties with Iran are likely to grow stronger as a result...
 New ATR Planes Join Iran Air Fleet
The ATR 72-600 planes recently delivered to Iran Air have...
NZ Exporters Wary of Rising  US-Iran Trade Tensions
New Zealand exporters are looking to worsening US-Iran...
 TPO Clarifies Import Ban List to Foreign Traders
The recent ban imposed on the import of certain products has...
Australian Teen Hacked Apple’s Computer Network
An Australian teenager has pleaded guilty to hacking into the...

Trending

Googleplus