Market News

– After the preparation of proper grounds for offering Iranian oil on Iran Energy Exchange to the private sector with the aim of circling the US sanctions, today 280K barrels of Iranian crude has been sold on IRENEX at the price of USD 74.85 (PB). 20% of the deal amount shall be settled in IRR and the rest will be transferred at delivery with today’s SANA rate currency (USD/IRR 136,000). This was the first offering of NIOC on the exchange which accompanied by 4 buyers.

– Rumours have that by the day of November the 4th, the biggest Iranian iron ore producer, GoharZamin Co., will be offered publically on Iran Fara Bourse. This giant, owned by Gol-e-Gohar, Omid investments and Qadir investments, has passed the initial listing requirements of IFB and is now waiting on the H1 audited financial reports. The company has two lines of iron ores concentrate production with 2 mmt capacity and 640 mmt iron ore reserves.

– Today, Iran Mercantile Exchange was the host to 8,000 tonnes of edible and durum wheat on its agricultural trading ring. Moreover, the offering of 400 tonnes zinc ingot has happened on the Industrial and Mining trading ring. The zinc offering was at a USD/IRR rate of around 105,000 level which shall be counted as good news for commodity-based tickers.

In the Market

Equities were able to get back a good chunk of their recent losses on a session led once again by the participation of individual investors. TEDPIX (+1.00%) jumped for 1,785.55 green points to close at 180,626.91 level. IFEX (-0.23%), however, was not able to break its corrective phase, yet the decrease was thin ice.

Today’s rally was mostly indebted to tickers of the heavy weighted Chemical (+2.00%) sector and their far better than expected H1 performance report. Persian Gulf Petrochemical (PKLJ, +3.42%) was the leader and left more than 421 positive points behind on the overall index. It is safe to say that all the important components of the sector ended the day with good demand.

Analyses show that a massive amount of individuals funds has been withdrawn from Oil Products (-1.31%) components as the global oil price correction seems to never end any time soon. Moreover, the calculation of their feedstock with a free market FX rate cut a huge part of their rent! and ended their irrational growth. Now the shares will be separate according to their monthly performances which shall be published these days.

In general, experts believe that until after November 4th, all investment markets will be on the verge of explosion, in either direction, and the political risks of markets have raised greatly.

Source:

2018, Iran Oil trades at $74.85 on Iran Energy Exchange!, Sunday, Oct 28, p.1,<https://agahgroup.com>