Market News

• Bank interest rate falling, it appears that more prosperous conditions in the stock market will be the only factor to absorb the wandering capitals to the market; otherwise, other parallel markets, i.e. the gold or the foreign exchange as well as the housing market will grab the boom. Combined with the government’s disability in directing capitals to productive fields, micro capital escape from the banking system will result in a jump in such non-productive areas mostly the housing sector. Although low demand in the housing market will reduce such probability, experts hold the idea that such a shock threatens the gold and foreign exchange market. Falling from 30% to 15% and still being on the descending trend to reach 13% to be in line with the 9% inflation rate, lowering the interest rate on deposits has fueled concerns over the fate of micro capitals in the country during the next year, since experts assume that banks will no longer remain as the safe haven for profitable investment and their clients will have to look for more alluring areas sooner or later.  Taking into consideration the fact that productive sectors are not booming right now, creating the required infrastructures at micro and macro levels may act as a plan for attracting liquidity to the market, which must be accompanied by defining plans to create the atmosphere of trust for investors in order to keep their capital in this market. The question, now, is where the capitals will land in next year.
• According to a member of the Parliament’s Planning and Budget Commission, note 35 pertinent to the settlement of a part of government’s debt to banks and banks’ debt to the central bank ($12,729.48 mn) has been approved. He also added that such a settlement will be done relying on the excess resources obtained from re-evaluating the central bank’s assets.

 In the Market

A majority of names in the Automotive group ended above their flat lines. Saipa Group (Khesapa) entered into the green zone and after more than 92 mn shares changed hands, topped the space in terms of the highest volume traded; more than 62% of sales in this share were conducted by institutional shareholders. Zamyad (Khezamyad) went up 1%, trading more than 39 mn shares. In addition, Saipa Azin (Khazin) grew 2%; Iran Khodro Diesel (Khekave) also hit its high. However, Iran Khodro (Khodro) finished in the -3% area.

Rather negative trades were seen among tickers in the Metals industry. Esfahan’s Mobarake Steel (Foolad) as well as Calsimin (Fasmin) shed 1%; National Iranian Lead and Zinc (Fasorb) followed its previously started descending trend and fell more than 3%; Iran Alloy Steel (Foolaj) also faced a sell-off and closed in the -4% zone. However, Amir Kabir-e Kashan Steel (Fajr) and Iran Ferrosilice (Ferous) faced buy queues.

Most symbols in the Chemicals group were traded negatively. Jam Petrochemical (Jam) went through trades worth more than $0.4 mn and about 1 mn shares were block traded in the retail market; it eventually shed 2% in its final price and was titled as the highest value traded share. More than 17 mn shares of Persian Gulf Petrochemical Industries (Fars) were also block traded. Nirouchlor (Shechlor) was the only name facing a buy queue. Besides, with no institutional shareholders as the seller, around 3 mn shares of Iranian Petrochemical Investment Group (Petrol) changed hands, introducing the share as the highest volume traded. Farabi Petrochemical (Shefara) hit its low and Parsian Oil and Gas Development (Parsan) lost 2%; 69% of Parsan were supposed to be sold to Parsian Rail Transportation Development (Heparsa) in a bulk trade, which was postponed to the Saturday session due to no price matching.

Except from Pasargad Oil (Shepas) and Behran Oil (Shebahren), all tickers in the Oil Products space closed in the negative area. Following its ascending trend, Tehran Oil Refining (Shetran) was highly demanded among individual shareholders; however, it finally finished in the -2% zone. Lavan Oil Refining (Shavan), Shiraz Oil Refining (Sheraz) and Tabriz Oil Refining (Shabriz) ended with sell queues. But, Oil Industry Investment (Vanaft) went through trades worth $0.28 mn and closed in the -0% territory.

---

TSE at a Glance

---

Summary of Trades

---

Top 10 Stocks

---

Major Sectors’ Daily Performance

---

Trading Halts and Reopenings

---

IFB at a Glance

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