Market News

– After growing anticipations on Iran dedicated SPV, promised by EU members to circumvent US sanctions, now an English newspaper announced that Switzerland is to establish another dedicated finanicla line to ease Iran humanitarian imports (Food, Pharmaceutical and Medical equipment). This is a part what EU promised Iran after US unilateral withdrawal from JCPoA. 

– Unconfirmed sources have that KSA closed its next year budget on 80 dollars oil price and daily production of 10.2 mn barrels. Bloomberg analysts believe that the global crude price for 2019 would be around $73 for OPEC basket which shows the king has higher than expectations hope for the global energy markets. Separately, the economist financial intelligence unit proposed the below figures for Iran oil sales which will cover the nation’s budget deficit if the prices stand where KSA predicts.

These predictions of Iran oil sales are almost 2 times higher than previous ones and Economist financial intelligence unit gathered the info based on CargoMetrics data. Apparently, Iran is now utilizing the methods of exports preservation like the previous round of sanctions on 2013.

In the Market

Equities finished the week considerably lower today as major indices continued the bearish trend for the 6th consecutive days in what was another emotion driven session. TEDPIX (-1.92%) lost a massive 3,063.25 points to let go of 157K technical support level and closed at 156,083.15. IFEX (-0.97%)was not different in performance and settled at 1,791.

The fall of global commodities, especially the crude, is considered the main catalysts behind today’s plummet by many, however, more experienced investors believe that domestic news has more leverage over the current situation of the capital market.

The only winner of today’s selloffs was tickers of mid-weighted Banking (+1.80%) sector. After the audit report of Bank Pasargad (BPAS), halted for almost 2 years, expressing the inevitability of CBI’s decision of a free market FX translation rate (probably NIMA rate), investors felt more confident in the future of banks’ FX resources translation effects on their balance sheets and rushed in buy queues to get expose to shares with good currency reserves. Mellat (BMLT, +3.58%) and Saderat (BSDR, +3.92%) banks were deeply demanded and ended the day with massive buy queues.

Source:

2018, Switzerland is to dedicate a financial line to Iran humanitarian imports!, Wednesday, Dec 19  p.1,<https://agahgroup.com>