Market News

– In their latest take against Iran Oil Exports, the secretary of US Treasury has announced that Iran oil buyers will be granted exemptions only if they agree to reduce their purchases more than previous level (20%) of 2013-15. Moreover, Steven Mnuchin told the press that the US is negotiating with SWIFT organization in order to cut Iran’s access to financial transactions. However, he accepted the fact that zeroing Iran oil exports in months after the sanction snapback is not viable. 

– The CEO of Iran railways co. has announced that the company is to finance its capital needs for manufacturing of 600 locomotives and 28,000 wagons from the capital market. The share of Iran railways transportations shall reach 30% by the end of 1400 (2021/22) and it requires a figure of USD 12 bn of finances which will be provided by the joint cooperation of Iran private sector along with railways company. Moreover, for the infrastructure part of this development plan, a figure of EUR 20 bn has been predicted.

– Iran Debt Market is just shy away from having an IRR 1,000,000 bn value (USD 23.81 bn). According to the stats, just over the year 1397 (2018/19) an amount of IRR 291,113 bn (USD 6.93 bn) worth of debt securities have been issued in the market (120% growth in comparison with the same period last year) while only IRR 78,928 bn (USD 1.89 bn) of which was matured. The market value raised by 30% contrary the year start and stood at IRR 929,819 bn (USD 22.14 bn).

In the Market

Equities experienced a volatile session started with bullish trend yet ended beneath the major averages flatlines. TEDPIX (-0.88%) fell for almost 1,700 points in a session mostly driven by emotions. IFEX (-0.41%) witnessed the exact thing but with smaller force.

The H1 reports of listed tickers are the thing dominating the trades these days and in a day or two, the final position of companies will be revealed in terms of performance. Today’s fall was mostly because of tickers of the Banking (-4.53%) sector. After the other night’s performance report of Mellat Bank (BMLT, -8.13%) stating that the currency translation effects will be announced later (this is something inevitable), a wave of rookie investors sat in the buy queue caused 289.69 negative points on the index. The situation spread virally for all other tickers despite the fact that their H1 reports were high above the expectations.

Elsewhere and in the medium weighted Oil Products (-2.26%), the general market sentiment caused an early sell-off, however, once the news of calculating their feedstock prices based on the NIMA FX rate came out, the sale pressure was somehow lifted and trades got back in their right course.

In general, expert participants anticipating very good performance reports by fundamentally sounded tickers and considering the fact that tomorrow is the last deadline, the market will find its trend from after.

Source:

2018, US treasury retracts from zeroing Iran Oil Exports!, Monday, Oct 22, p.1,<https://agahgroup.com>