Economy, Business And Markets

TSE Marred by Low Trade Volume

TSE Marred by Low Trade VolumeTSE Marred by Low Trade Volume

Tehran Stock Exchange (TSE) witnessed a sloppy trade on Saturday amid a prevailing bearish trend, with almost 291 million shares changing hands to record close to 50 percent decline for trade value compared to the previous trading day.

The equity market piled up more losses yesterday, with the TSE’s benchmark registering a new record low within the past 17 months, underscoring panicked investors shrugging off the latest stimuli aimed at giving a lift to the TSE’s dented sentiment.

According to TSE data, the TEDPIX slipped 100.8 points or 0.16 percent to settle at new record low of 63,950.9. The first market index lost 100.3 points or 0.21 percent to stand at 47,339.5. The second market index ticked down 26.2 points or 0.02 percent to 124,268.8. The free float index was down 186 points or 0.25 percent to 72,814, and the blue-chip index tumbled 91.4 points or 0.17 percent to finish week’s first trading day at 53,552.

The breathtaking devaluation at the equity market inflicted heavy losses on both individual and institutional investors, with few of them still keen to trade in such an unpredictable market, marred by very low volume and value of trades.

More than 291 million shares changed hands in the first day of the week, valued at almost 541 billion rials, to record close to 50 and 65 percent decline in trade volume and value respectively.

Persian Gulf Petrochemical Industry Company, which has the highest market cap at the TSE and a Price Earnings (P/E) of 5, as well as a 25.68 points positive contribution, left the most positive impact on the TEDPIX. Omid Investment Group Corporation with a P/E of 3.9, and 5.3 points positive contribution took the second place.

The majority of the listed companies had a downbeat performance, with Mapna Group leading the market laggards. Iran Khodro and Parsian Oil and Gas Development Company with around 19 and 17 points took the second and third place respectively to push the TSE’s gauge to the red territory.