Market News

– Tax organization of Iran ratified a bylaw lowering taxes for equity trades to only 0.1% on Iran Stock Market. Previously there was a0.5% tax imposed on trades upon the sale of securities, stocks and stock rights, which now has lowered to the minimum possible level in order to maximize the participation of involved parties.

– Rumours have that bank deposits interest rate, which earlier last year was set at 15%, it to rise again to 18% in order to maintain the unleashed and critically rising money supply of the nation in banks and not unproductive markets of FX and gold coins. According to reliable sources, due to the different economic situation of these days, money and credit council is to step into the matter and authorize a rise on rates. Soon the 1-year term of temporary 20% bank deposits of CBI’s rescue package will end and the nation is to face with a figure of IRR 8,500,000 bn (USD 202.40 bn) wandering money amid the people.

– The below table demonstrates the latest status of Islamic Treasury Bills on Iran Debt Market as of today. As can be seen, the average YTM of these securities hovers around 31% which can be considered a new record high on mentioned issues.

– Today, rates on the FX secondary market got off a bit out of order and was marginally higher than previous trading sessions. According to SANA rate window, which shows the weighted average of currency houses trades, not only the prices are higher, but also a bigger share of trade volume is dedicated to those higher prices. This 12-13% price jump can address that firms are more willing to sell their FX revenues on exchange houses rates rather than those in NIMA platform. 

In the Market

Equities ended today on a moderately higher note as things over the FX market gets calmer now. TEDPIX rose by 0.81% to stand above 131K level while IFEX (+0.34%) had a modest day and closed slightly higher above its flat line. Helped mostly by non-commodity based sectors, the capital market digested the FX issues for now turned focus on other sectors.

Today’s gains were broad-based, with most of the sectors closing in the green. Like most of the time, heavy weighted Metals (+1.61%) led the market again with its steelmakers on the front line. Khorasan Steel (FKAS, +17.68%) reopened after its far better than expected performance report and placed 341.05 positive points on the overall index. Khuzestan Steel (+2.24%) was the next best thing despite its shaky performance near the closing bell. Isfahan Mubaraka Steel (FOLD, -0.04%) got off to a bad start yet managed somehow to rise after institutional investors showed mercy to the ticker.

With Chemicals (+0.16%) giants trading on sideways today, it was plenty of room for tickers of Telecommunications (+3.56%) sector to grow. Both TCI (MKBT, +4.66%) and MCI (HMRZ, +2.81%) performed better than previous sessions today and had a huge hand in the overall index push up.

Finally and on the IT (+3.04%) front, Informatics Services (INFO, +5.0%) hiked and placed 118.27 green points on TEDPIX. The ticker closed the day with almost 2 mn orders left in buy queue. Other components of the industry, especially the payment shares, had a good day with rising demand through the closing. Titled as the company with the largest market share, Beh Pardakht Mellat (PRKT, +2.22%) were highly demanded today and closed with a buy queue.

Source:

2018, Taxes down to 0.1% on Iran Stock Market!, Saturday, Aug 18, p.1,<https://agahgroup.com>