Market News

– Brokerage houses ranking for the 11-month period ending Feb 19, 2018 has been announced by Securities and Exchange Organization (Iran SEO) and Agah Group again placed second in terms of electronic trades (e.g. online trading) with 6.68% market share. Electronic trades on Iran Capital Marketitself span for 21.5% worth IRR 235,000 bn (cUSD 5.2 bn) of the total trading value.

– Having been submitted to the Majlis in early December, Iran Budget Bill for 2018/19 was finally approved by parliament members in terms of resources and consumption by 148 votes in favor, 38 votes against and 3 abstained. It now requires the verification of the Guardian Council in order to become the law. The approved budget hovers around IRR 12,175,000 bn, with its resources and expenses standing at IRR 4,432,667 bn and IRR 8,335,701 bn, respectively, both posting a rise compared to the proposed figures by the government.

– The Financial Action Task Force (FATF) has announced its satisfaction with measures taken by Iran in terms of fighting money laundering, suspending its countermeasures until its next meeting in June 2018.

In the Market

Stocks rallied on today’s session, turning what was a disappointing previous week into a modest success, however the rally strength was not full in force to hold up to ending bell. The TEDPIX led the charge, adding only 0.02%, while the IEFX lost -0.34%.

Nearly the entire Automotive space saw a rise in demand with many names hitting their highs. Starting from today, Iran Khodro (IKCO1) will issue IRR 7,000 bn worth of Sukuk Murabahah, with 4 years of maturity, for its spare part mfg. subsidiaries companies; the plan is to settle 50-60% of Iran Khodro’s debt to such companies. Furthermore, an official in IKCO announced their plan to export 10,000 vehicles in the next year to MENA region (75%) and Asian and Latin American countries (25%).

Besides, Iran Khodro will offer the 50.2% share block (equal to 223,396,232 shares) of Mashhad Wheel Mfg. (RINM1) on behalf of Iran Spare Part and Iran Khodro Investment Development companies, at IRR 3,223 as base price. This pushed RINM1 to face a buy queue. The tickers of the offering companies had been halted due to this matter; the former returned to the market at IRR 2,383 (+5.8%).

On the other hand, the majority of tickers in the Chemicals group went through negative trades. The gradual decrease in USD/IRR, started after the CBI rescue package launch, plays a part in this trend.

The decline in oil reserves intensified with the stopping of production in Libya’s oil fields dragged oil prices upward; a rather balanced sentiment dominated the Oil Products group.

In today’s session, 15 mn shares of Bank Mellat, worth IRR 14.7 bn, listed on the Banking space, were block traded on the retail market. Besides, the extraordinary General Meeting of Bank Saderat was held today to determine the bank’s board of directors. A CBI official stated that Bank Pasargad branch opening license application has been approved by Indian officials and Bank Saman will also open its representative office in this country soon.

Source:

2018, Iran SEO Ranks Brokerage Houses!, Saturday, February 24, p.1,<https://agahgroup.com>