Another Bad Sign for Stockholders

EghtesadOnline: Tehran stocks suffered one more hit on Monday amid visible efforts by the regulatory body and institutional traders to prop up the market but to no avail because of rising sell-side pressure.

News ID: ۷۵۰۷۹۶

25 August 2020

The main gauge of Tehran Stock Exchange, TEDPIX, lost 53,671 points and fell by 3.23% for the day to close trade at 1,608,544 points. TEDPIX has lost more than 11% in four straight sessions of bear market.

With authorities struggling to support the market from further collapse, Monday’s session saw institutional investors stepping in seriously to boost demand. Their efforts fell on the wayside due to stronger sellers, namely retail traders.

Large-scale buying by institutional traders resulted in a remarkable increase in the value of trade, which was construed by observers as positive sign that the market is prepared for some form of recovery.

The value of trade in both TSE and the junior equity market Iran Fara Bourse reached 156 trillion rials ($680 million), which was higher than the 110 trillion rials one session earlier.

Market data shows that there was an unprecedented capital outflow by retail traders as they sold shares worth 72 trillion rials ($313m), boursepress.ir reported.

Institutional traders mainly bought blue chips, such as metal and mineral, refinery, bank and petrochemical shares.

TSE Trade

About 10.3 billion shares valued at 132.78 trillion rials ($590.13 m) changed hands at TSE for the day. Trading at TSE and over-the-counter Iran Fara Bourse starts on Saturday and ends Wednesday.

Behsaz Kashaneh Tehran Company was the biggest winner as its shares went up 4.98% to 2,950 rials per share. Iran Carton Company incurred the biggest loss among all TSE-listed companies and went down 12.74% to 5,960 rials per share.

Social Security Investment Company contributed the most to the benchmark's fall, followed by Persian Gulf Petrochemical Industries Company, Mobarakeh Steel Company and Esfahan Oil Refining Company.

National Iranian Copper Industries Company gave the biggest boost to the benchmark index, followed by Amin Investment Bank, Behsaz Kashaneh Tehran Company and Sepahan Industrial Group Company.

IFX Down 3.39%

Iran Fara Bourse main index IFX lost 603.42 points or 3.39% to close Monday trade at 17,221.12.

About 964.96 million securities valued at 23.78 trillion rials ($105.72m) were traded at IFB for the day.

Middle East Mines and Mineral Industries Development Holding Company, Marun Petrochemical Company, Gohar Zamin Iron Ore Company and Arya Sasol Polymer Company had the most negative impact on IFX.

Gilan Electric Power Development Company gave the biggest boost to IFX, followed by Sobhan Investment Company, Malard Shir Company and Tadbirgaran Fars and Khuzestan Investment Company.