Iran: Currency and Gold Weaken

EghtesadOnline: The currency and gold coin markets on Wednesday fluctuated posting drops after Tuesday's gains. The US dollar lost 2.5% or 6,000 rials during the day to close at 280,000 rials at Tehran’s open market.

News ID: ۷۵۱۳۶۵

29 October 2020

Moneychangers affiliated to the Iranian Association of Bureau de Change quoted the greenback at lower rates (277,380 rials) according to Eghtesadnews.

The euro was priced at 329,830 rials in the free market across the country, down 2.63% compared to the previous trading day. Licensed moneychangers tagged the single European currency at 326,460 rials. The greenback had gained 1.74% on Tuesday's close and the euro had climbed 1.84%.

Likewise, the UK pound lost 2.53% and fetched 354,700 rials in the open market. The Emirati dirham slipped 1.44% Wednesday and was worth 76,900 rials. It was  unchanged the day earlier.

Moneychangers affiliated to the CBI quoted lower rates for the dollar and euro on Wednesday. Melli Exchange, affiliated to Bank Melli Iran sold the euro and dollar at 328,500 rials and 278,500 rials, respectively.

The CBI said it injected currency in the highly chaotic market last week and that the secondary forex market, known as Nima, has also seen increase in offers. Nima is a trade platform operating under the central bank oversight were exporters sell their overseas earnings and importers buy for imports.

In the secondary market the US dollar and euro bought 268,730 rials and 330,270 rials, respectively.

Gold in Freefall

Gold coin prices also dropped on Wednesday. Emami gold coin lost 4.52%, or 6 million rials, to 133 million rials. It had gained 2 million rials on Tuesday.

Half Bahar Azadi coin also lost 2% or 1.5 million rials fetching 75 million rials. The qarter Azadi coin was 1 million rials lower than Tuesday's close and was traded at 49.5 million rials.

In the international market gold prices eased on Wednesday due an uptick in the dollar, Reuters reported. But uncertainty going into next week’s US presidential election and concerns over a spike in coronavirus cases in Europe and the US limited bullion losses. Spot gold was down 0.3% at $1,900.52 per ounce by 0931 GMT. US gold futures fell 0.5% to $1,902.30 per ounce.