Iran to Join BRICS
* In a press conference with the Head of Iranian Parliament present, the Speaker of the National Assembly of South Africa formally announced that this country supports Iran’s bid to join BRICS group since Iran can play a positive role in the development of the member countries, which is made up of Brazil, Russia, India, China and South Africa. Baleka Mbete visited senior lawmakers and the Central Bank of Iran.
* The banking sector reform bills, i.e. the Banking Reform Bill and the Central Bank Bill, approved after a series of month-long discussions and negotiations in July, are being assessed in the Majlis Economic Commission in intensive meetings and their ratification by the lawmakers will take place in open sessions in December. In their preparation, other countries’ successful experiences plus experts’ opinions have been seriously taken into account, keeping an eye on the Islamic Banking regulations and guidelines. In fact, the Banking Reform Bill appears to replace the current usury free banking law; it also sets procedures for banks and credit institutions in getting licenses from the CBI as well as their investment limits while the latter seeks for improving the independence of the Central Bank of Iran and boosting its oversight over the money market.
In the Market
With tensions rising between North Korea and the West, gold price has kept rising as well which was accompanied by the growth in other metals prices; although zinc prices still hover around $3,200, the copper prices are ascending, approaching $7,000. National Iranian Copper Industries (3.67%), in the Metals space, faced demand growth; Shahid Bahonar Copper also closed with a buy queue. A similar sentiment was also seen in the Iron Ore sector, led by Gol-e Gohar Mining & Industrial (2.3%). Iran Zinc Mines Development (3.7%) was the other gainer.
Following the positive trend in the previous session, refining companies in Oil Products space started strong; technical experts believe that they are in a price-sensitive area and a powerful motive is required for them to pass this area; they eventually settled with very slim gains, although Lavan Oil Refining lost 1.37% of its price. An official in Pasargad Oil said that the company is planning to export 34,000 tons of tar worth IRR 300 bn for the fourth consecutive time.
Leading the Automotive sector, Saipa (-0.34%) seems to be very much supported at IRR 1,100; after being reopened, its institutional shareholders have been very active in purchasing the share. Motorsazan Iran Tractor and Ravan Fanavar Industrial Engineering were the top gainers climbing up more than 2%. Many expect a boom for the sector in near future.
Shareholders pushed the majority of names in the Food & Beverages space into the red zone. Leading today’s trades, Shahdab-e Nab-e Khorasan finished 0.8% higher; the company has been heard to increase its sales price in addition to selling bottled mineral water; it is also planning to raise its capital by 39% relying on its shareholders’ paid in capital and claims due.
DISCLAIMER: This report has been prepared and issued by Agah Brokerage Firm on the basis of publicly available information, internally developed data and other sources believed to be reliable. The information contained herein is not guaranteed, does not purport to be comprehensive and is strictly for information purposes only. Agah does not assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions. Any expressions of opinions are subject to change without notice.
To contact reporters: Inter@agah.com