TEDPIX gains 28700 points on Wednesday
TEDPIX gains 28,700 points on Wednesday
TEHRAN- TEDPIX, the main index of the Tehran Stock Exchange (TSE), rose 28,792 points to 2,788,214 on Wednesday, which is the fifth day of the Iranian calendar week.
TSE is one of the four Iranian stock exchanges, and the most important one. The other three ones are Iran Mercantile Exchange (IME), Iran Energy Exchange (IRENEX), and Iran’s over-the-counter (OTC) market, known as Iran Fara Bourse (IFB).
On December 20, a market analyst said that Iran’s stock market has seen positive momentum in the past month, driven by lower interest rates, the removal of price controls, and supportive measures from the Ministry of Economy and the Securities and Exchange Organization (SEO).
In an exclusive interview with IRIB, Ali Pazaki, a capital market expert, cited the replacement of the NIMA exchange rate with a negotiated exchange rate as a key factor behind the recent market uptick, saying: “Since many listed companies are export-oriented, this shift has boosted their profitability,” he explained.
He added that the government’s removal of mandatory price controls has significantly benefitted certain industries, especially automotive firms. “Given that automakers were subject to regulated pricing by the Competition Council, allowing their products to be priced through supply and demand on the commodity exchange has positively impacted their financial statements and those of parts manufacturers.”
Pazaki pointed to reduced systematic risks and easing regional tensions as additional drivers of the positive trend in the stock market. “These factors have created a calm environment for the capital market in recent days, allowing investors to make decisions based on economic indicators,” he noted.
Looking ahead, Pazaki predicted a continued positive outlook for the stock market. “Given the ongoing supportive measures and the inherent value in listed companies, the market is expected to maintain its upward trajectory. Support from the minister of economy and increased financing for listed firms can contribute to national development projects, ultimately fostering a more dynamic economy.”
In mid-September, the head of Iran Securities and Exchange Organization (SEO) said the entity will take the necessary measures to ensure that the direct and indirect interests of the stock market are considered in next year’s budget bill.
“We are taking special measures in relation to the budget bill and issues that directly or indirectly affect the capital market,” Hojatollah Seyedi stated.
He has also said that improving the stock market’s efficiency is the main priority of the SEO in the current government administration
“In the 14th government, our mission is to protect the rights and interests of shareholders, facilitate the formation of capital, and improve the efficiency of the market which is the priority of the SEO programs,” Seyedi underlined.
MA
source: tehrantimes.com