- Banks to trade FX on the market!
CBI chair assures nation to have single rate FX by the current year end. A new directive, notified within a week, should allow banks to trade currency on the market. Exporters would be authorized to freely deposit or sell the currencies of trades.
“This shall be a huge leap towards a single rate on FX market.” Said Kamal Seyed Ali, former CBI’s foreign currency deputy. Smoothing currency operations, raising banking network as the main market player and increasing currency inflow are just a couple cases in point.
With inflation to reduce, the difference between global and domestic rates will be narrow, make currency adjustment effects poor. Previous trial of early 80’s is a concrete proof of the “Policy’s” effectiveness.
- Titration of Expectations!
Looking over 321 active tickers on TSE and IFB, shows a higher than market average P/E for 206 of them. A state of optimism is dominant amid market participants. Although the ratio is of vital importance when it comes to making decisions, yet the sad truth of not being eligible remains about the quality of the earnings. As simple as it seems calculating P/E, the rendition is not naïve.
A closer look on market cap and P/E for listed companies revels a bit more about market conditions (See below table)
In the Market
The stock market ended today’s affair on a higher note as the TEDPIX (+0.46%) rose again and stood on 76,579.70. Almost all the major indexes settled above their flat lines.
Isfahan Oil Refinery was the biggest undertone of today’s session. Near 9 mn shares of “Shepna” were traded and the ticker closed at IRR 2,635 (-3.02%). Bandar Abbas and Lavan oil refineries followed the trend at early hours, yet ended in green throughout the end.
Almost all the tickers of Iron ores traded above their Wednesday’s levels. 18.9 mn shares of Chador Malou changed hands left the closing price at IRR 1,876 (+4.45). “Bama” was the sole looser of the sector, slumped near 1.5% and closed at IRR 3,968. Analysts believe that continuous growth of global prices is the main catalyst behind the move. After its reopening, 50 mn shares of Mines & Metals development were traded (+12.37%), placed the first on most positive impact on the index (89.84 points)
With Toss-e-Melli and Pension Fund Investments near 4% gain, the conglomerates seen rather higher demand today. Stamped 41.77 and 31.03 positive point on TEDPIX each, both of the tickers hooked on their earlier gains. Ghadir and Omid investments lost big times on intervals, fortunately the closings jumped to near their flat lines through the end.
Finally the Auto sector was one of the industries that settled in negative territory for most tickers. Iran Khodro and Saipa also under-performed, but gained 1.8% and 1.56% respectively.
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