Market News

– The 11^th Iran FINEX (financial exhibition) is to take place from tomorrow until Thursday, Mar 19, 2018, on Tehran International exhibition premises with the participation of 392 domestic and foreign finance-related firms. Big international names like EY, Capital Intelligence, Incentage and Alpari group are to not only have booths in Iran FINEX but also carry out educational workshops for Iranian attendees.

– CBI stats show that the growth of Iranian economy, AKA the GDP growth, went for 1% (oil included) and 3.6% (oil excluded) for Q3 2017. Calculating based on fixed prices (2011/12), the figures of gross domestic product (GDP), Gross fixed capital formation (GFCF), Personal (private sector) consumption expenditures (PCE) and public expenditure (PE) are IRR 3,673,000 bn (cUSD 87.45), 697,000 bn (cUSD 16.59), 1,734,000 bn (cUSD 41.28) and 447,000 bn (cUSD 10.64) respectively.

– According to the chair of Iranian SEO fiq committee, the outstanding issues of Iranian Sukuk Salam and Sukuk Ijarah reached IRR 65,000 bn (cUSD 87.45) and 110,000 bn (cUSD 87.45) respectively in 2017/18 and only a figure of IRR 35,000 (cUSD 87.45) was for past years’ issues. The fiq committee is responsible for the compliance of new securities with Sharia rules and is consisting of 5 members (economic faqïh, jurist, financial expert, an economist).

– After the recent turmoil on Iran’s FX market, the administration went decisively to put a cap on currency market volatilities by unifying the USD/IRR rate. Since then, more than a dozen directives have been issued to clarify ambiguities. The latest bylaw banned the exchange houses to trade currency notes and obliged them to only carry out remittance orders via banking sector routs.

Stocks Trims Gains again!

In the Market

Stocks slipped on today’s session, starting the week on a disappointing note, as some geopolitical angst prompted investors to take some money off the table. The TEDPIX declined -0.31% and IFEX closed the day near its flat line (+0.17%).

The major averages started the session modestly higher. However, after a short stint in the green, the Auto sector (-0.33%) moved lower, bringing the broader market with it. Volatility picked up in the final stretch, with the major averages dropping to new lows as investors contemplated the likelihood of more uncertainties in the country’s investment horizon.

The heavy weighted Metals sector (-0.42%) helped keep losses in check, extending its poor performance for the second consecutive session. Despite the historical jump in oil price, not even the related sectors show any sign of compassion. Both Oil Products (-0.31%) and Chemicals (-0.65%) ended the day far below their flat lines.

In general, the systematic risks in Tehran Stock Exchange reached a level that most investors prefer to stand aside for the moment and see what future will bring them.

Source:

2018, Iran FINEX 2018; gateway to international finance community!, Sunday, April 15, p.1,<https://agahgroup.com>