Stock Rally Picks Up Pace in Tehran

EghtesadOnline: A rally in Iranian stocks picked up pace on Tuesday, following the lead of commodity shares as nine-monthly reports of refinery, petrochemical and metals companies was interpreted by investors as a sign of bolstering corporate activity.

News ID: ۷۴۶۴۰۱

09 January 2019

Another factor boosting investor sentiment was the stability in world stocks after they were hit by a bout of volatility toward the end of 2018. An index of world stocks rose on Monday, adding to Friday's strong gains, on optimism about the outcome of trade talks between Washington and Beijing.

Growing bets that the US Federal Reserve will halt its multi-year rate-hike cycle sent the dollar lower across the board, while rising equity markets and support from OPEC production cuts helped lift oil prices. The fall in oil prices had previously battered Tehran stocks.

At Tuesday's session however, bank and auto stocks lost their earlier appeal and triggered a selloff as investor optimism about the growth of the two beleaguered sectors faded, Financial Tribune reported.

Tehran Stock Exchange’s main index TEDPIX gained 1,643.56 points or 1.01% on Tuesday to end trading at 163,967.2.

More than 2.4 billion shares valued at 7.11 trillion rials ($56.91 million) changed hands at TSE for the day.

Trading at TSE and Iran Fara Bourse starts on Saturday and ends Wednesday.

Alborz Investment Group was the biggest winner as its shares went up 4.98% to 10,319 and 2,064 rials per share.

Ilam Cement Company incurred the biggest losses among all TSE-listed companies and went down 9.53% to 3,182 rials per share.

Pars Petrochemical Company gave the biggest boost to the benchmark index, followed by Mobarakeh Steel Company and Isfahan Oil Refinery Company.

Bank Mellat contributed the most to the benchmark's fall, followed by Bank Saderat Iran and Persian Gulf Petrochemical Industries Company.

The Price Index gained 477.80 points to close at 47,663.8. First Market Index was up 1.249.62 points to post 121,006.6.

Second Market Index increased by 3.089 points to reach 325,626.3. The Industry Index went up by 2,006 points to register 146,814.2.