Central Bank of Iran’s Attempts Continue
Following the visit paid by the Governor of the Central Bank of Iran accompanied by a delegation made up Iranian state and private banks to China, a finance deal, worth $ 10 bn, was signed between with a Chinese state-owned investment company, CITIC Trust, to fund development projects in Iran, mostly in areas like water management, energy, environment and transportation projects; the 10-12 year construction and repayment periods will be set for each projects proportionate to their size and requirements. The funds will be provided in euro and yuan. Furthermore, an MoU was also signed with the Development Bank of China, worth $ 15bn, on providing funds for construction projects; the expansion of correspondent banking relations between the Iranian lenders and their Chinese counterparts were also another point of discussion. The Iranian delegation is also set to gather with officials at the China Banking Regulatory Commission to discuss banking problems and impediments ahead linking Iranian businesses with their international counterparts.
In the Market
The equity market opened the week on a higher note. The heavy weighted Oil Products industry rallied, driving today’s trading value, followed by Metals and Chemicals groups. Except for oil companies, i.e. Iranol Oil, Pars Oil and Sepahan Oil, the rest closed with notable gains. After 8 mn shares changed hands, Tehran Oil Refining faced a buy queue; Tabriz Oil Refining was another name ending with a buy queue.
The rise in Urea prices dragged many symbols in the Chemicals industry into the green, with Khorasan Petrochemical and Zagros Petrochemical contributing the most to the sector’s trading value. Besides, Pakshoo Industrial and Fars Petrochemical Industries finished in the +4% area.
The news on Russia planning to import 20% of its food products from Iran pushed the majority of names in the Food & Beverages group into the green area, led by Shahdab-e Nab-e Khorasan Agro-Industry and Pegah-e Azerbaijan-e Qarbi. Pakdis and Behpak were the top gainers, going up more than 4%.
In the first trading session after its IPO, Hi Web ticker started the session with a 220 mn share buy queue. It dragged other tickers in the IT & Communication industry into the green territory; in fact, Atie Data Processing finished with a buy queue while Mobin One Kish went up 1.6%. Belarus is interested in setting up a joint venture fund with Iran, which seems to be active in the field of pharmaceuticals and IT, among other areas.
The whole Coal sector hit their high in tandem with the recent price hike set by the Minister of Industry, Mine and trade.
On the flip side, Sugar space struggled throughout the session, keeping a lid on any bullish sentiment, led by Qazvin Sugar, although some names like Chaharmahal Food & Sugar Company and Shahd Company retraced some of their loss in their final trades. Lorestan Sugar was the top loser of today’s affair.
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