Towards Getting Back Its Place
* Following the $5 bn contract signed between Iran and a delegation led by Total Company on developing Phase 11 of Pars- Jonoubi gas field as well as the $ 1.5 bn finance contract inked between Iran’s Bank of Industry and Mine and China’s Exim Bank for Tehran-Mashhad railroad electrification, the third major foreign contract was struck between the Industrial Development and Renovation Organization and the Russian CJSC Transmashholding, worth 2.5 bn euro, on manufacturing locomotive (metro) wagons and equipment; the Iranian side will hold 20% while the Russian party will have 80% stake in this joint venture.
* Considering the necessity of lowering the current interest rate in the country, a joint session is planned to be held between the Majlis Economic Committee and the CEOs of banks in the upcoming week to discuss options and the ways to do it; the next step will also be lowering he interest rates on loans and facilities. Currently, the interest rate has been set at 18%, which might also have gone higher owing to the credit crunch in the economy.
* An official in the administration has announced applying tax to bank deposits and said that those with deposits accept the lowest level of risk which make them eligible to accept a higher level of tax as well. This might move some large figures towards the capital market.
In the Market
Companies listed on the Non-Metallic Ore space were highly demanded like the previous session such that Lia Company faced a buy queue at IRR 11,753, although Tuka Refractories shed more than 4% in return. Pars Refractories also finished more than 3% higher.
Irrespective of the negative sentiment in the Construction space, Azerbaijan Development Investment faced a buy queue in the first hour of the session; similar move was seen in Fars Development and Civil.
Symbols in the Cement space observed positive and balanced trades. Today, 5.07% of Khuzestan Cement, equal to 33,000,079 shares, were sold by Shahed Civil & Develop, at IRR 3,900.
The majority of companies in the Metals industry were traded in a balanced to positive manner, led by Esfahan Steel; having held its AGM, Esfahan Steel ticker was reopened at IRR 810, going up 5%; the company has covered 23% of its overall estimated sales figure for the current FY in the first 4 months and predicted to make IRR 35 loss per share.
Apart from Beh Pardakht-e Mellat which closed the day with a buy queue, other tickers in the Computer space went through negative trades with Informatics Services and Afranet losing more than 4% in their final trades.
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