Currencies Jump in Tehran

EghtesadOnline: Forex rates shot up in Tehran on the first day of the week. The dollar climbed to 243,000 rials on Saturday in the open market, posting 2.3% or 5,600-rial growth compared to Thursday's close.

News ID: ۷۸۵۸۶۳

31 January 2021

The greenback went up as high as 247,000 rials in the early hours of trade before paring some of the gains. It bought 230,150 rials at the Central Bank of Iran regulated market --  2.86% higher than the previous trading day. The regulated market is a network of banks and certified moneychangers under CBI auspices and deals in wholesale currency.

Melli Exchange, and other exchange shops affiliated to banks, quoted 237,200 rials for the dollar. The euro recorded the highest growth rising 4.19% to fetch a two-week high of 300,530 rials.

The UK pound sterling was traded at 339,570 rials 41.17% or 14,170 rials higher than Thursday, Eghtesadnews reported. The Emirati dirham recorded 1.49% or 1,000-rial increase and was priced at 67,000 rials. The currency had lost 2.58% in Thursday trade.

Turkish lira and the Canadian dollar also posted 1.81% and 4.15% growth to be quoted at 33,100 rials and 185,640 rials, respectively.

Many currency traders say it might take more time than presumed for Iran and the United States to end years of tensions that usually impact currency rates in Tehran.

The new US President Joe Biden has vowed to rejoin the Iran nuclear agreement, which Donald Trump abandoned in 2018, but on condition that Iran make the first move and “resume compliance” with the provisions of the 2015 landmark deal.

Foreign Minister Mohammad Javad Zarif said Friday expectations of the Biden administration that Iran first return to full compliance with the 2015 nuclear deal is not logical and will not happen.

“The logic is that the party that has exited return and we, who stayed within the agreement, take the required measures at that time,” he told reporters after a meeting with his Turkish counterpart Mevlut Cavusoglu in Istanbul on Saturday.

Gold Prices Up

Gold prices also increased on Saturday impacted, as usual, by forex rates. The Emami gold coin posted 2.29% or 1.5 million rials growth reaching 109 million rials.

Half Bahar Azadi gold coin was worth 61.5 million rials up 2.43% or 1.5 million rials compared to the previous trading day. Quarter Bahar Azadi coin rose by a million rials and was traded for 40.5 million rials.

Upsurge in the domestic bullion market seemingly was less impacted by trends in international markets. Gold prices traded in a tight range on Friday, but prices were on track to post a weekly and monthly decline as a stronger dollar took some shine off the precious metal, Reuters reported. Spot gold was up 0.2% at $1,844.86 per ounce. Prices were down 0.5% for the week and 2.7% for the month.