Market News

– The head of Iran Action Group announced that the US will not extend exemptions of Iranian oil buyers that were granted previously. Brian Hook told the press that these exemptions aimed to stop the global oil price hikes and it is not likely that the United States extend the 6 month period. Last year 8 countries, including South Korea and Japan who still are not buying oil from Iran regardless of the immunity they have, were exempted from the ban on buying Iranian oil. 

– “The third batch of Iran oil for offering on Iran Energy Exchange will have a complete IRR settlement and 90 days clearing period,” said Hosseini the chair of IRENEX. This offering will be for 3 mn barrels of Iranian crude in 35K barrels lots. The exact time of this exchange offer will be decided by the NIOC and ministry of oil.

– Iran International Exchange will inaugurate soon. The consultant of SEO’s chair in international affairs told the press that a bill regarding this matter has been sent for the cabinet members hope to get ratified before this year end. Stressing on that any international exchange needs an international custodian, Bahador Bijani confirmed that if the bill ratifies by the administration, we will see the presence of such entities in Iran soon.

In the Market

The TEDPIX (+0.06%) finished today just a hair above its flat line on Wednesday. The benchmark index never traded in negative territory but did not close at its session high. IFEX (-0.15%) on the other hand could not hold to its grounds and closed a tick below its previous close.

The heavy weighted sectors finished mixed with Metals (0.26%), Chemicals (-0.10%), and Oil Products (-0.69%) weighing on the market. Conversely, the Transportation (4.16%) and Paper Products (+4.16%) sectors finished atop the standings.

The previous week hikes in global crude prices helped the market to get back on its feet, however, after some disappointing Q3 performance reports the giants started to fail the market one by one. Components of trending Banking (-0.70%) sector reached their technical resistance levels and maybe stop there for some time. This is while the news of a price hike is now official for automakers and that is the reason behind today’s emotional trades of the small-cap Auto (+1.15%) sector.

Islamic Treasuries start the week on a higher note, pushing the yield down to 20% area again. The below picture shows the latest yield curve of Iran Debt Market:

Source:

2019,US not to extend Iranian oil buyers exemptions!, Saturday, Jan 12 p.1,<https://agahgroup.com>