3 factors for the fall of Tehran Stock Exchange

According to Tejarat News, Exchange Tehran performed poorly at the end of trading on Tuesday. This poor performance caused the demand in this market to weaken to some extent.

The stock supply in the face of existing uncertainty stems from the future state of production and sales of dollar companies in the market. Production and sales situation The electricity supply is likely to run out in the coming months. This shortage of electricity reduces the security of investment and sustainable income in companies.

However, it can not be ignored that the possibility of an increase in the global market recession due to rising interest rates in the coming weeks is also an important factor that has already overshadowed prices in world markets.

According to the world of economyTehran Stock Exchange, after a period of strong ascent in the face of some problematic issues in the global and domestic arena, wants to tune the opposite instrument against the uptrend.

The market has so far been able to reach the level of 1.6 million with optimism about the growth of world prices and the improvement of the inflation situation inside.

At the same time, the same reasons are no longer possible in the world economy.

The world economy is currently in a situation where the high supply shortfall against demand and the inflationary burden of coronary support in recent years are taking over.

This has led central banks to raise interest rates in the face of these conditions.

Naturally, this will cause world prices for basic commodities to fall and narrow the field for companies to increase real income.

However, yesterday’s fall in prices on the stock exchange and over-the-counter had other reasons, the result of which was that despite the negative market environment on this day, we see a drop of 0.1 percent of the main market indicator on this day.

Accelerate less yesterday’s net legal purchases in Exchange Reached 405 billion tomans.

The value of retail transactions was 3372 billion tomans, which is less than the average of this figure in the last two weeks.

Weak performance reports

The first reason for the drop in prices in commodity-oriented market symbols can be considered as poor performance reports in symbols that have been able to attract a lot of attention in recent years as the basic symbols of the market.

According to some stock market experts, these symbols have not been able to continue their sales production process in recent months in a way that will ultimately lead to a favorable profit for investors in these industries.

This led to a sufficient excuse to increase supply in these stocks and reduce demand, along with the decline in the overall index in recent days during Tuesday’s trading.

Some believe that the growth of commodity-oriented stock market symbols in March of last year, April and May of this year due to optimism about rising inflation in the world’s major economies and the war between Ukraine and Russia has led to optimism about the growth of these companies. To figure out the reality in the markets and cause now in the face of the reality of global markets to be disappointed with the real performance of this company.

Activity; In an aura of ambiguity

Another factor that has been able to add to the pessimism in the stock market in recent days is the inadequacy of the existing infrastructure to continue the activities of many industries such as steel and cement.

Khuzestan Steel also indicated that this company will lose the possibility of producing 440,000 steel ingots during this period due to the restrictions created by the Khuzestan Electricity Authority in the period of June 6 to September 6, and due to this reduction in revenue It loses 65,531 billion tomans.

In previous years, especially in 1400, we saw that the increase in electricity consumption in the country and the inadequacy of production capacity to the needs of the national electricity network caused the government to limit the activities of industrial companies in favor of the home network.

As a result, the activity and profitability of many companies operating in the fields of basic metals, cement, etc. decreased, however, the issue was not limited to this.

In winter, the lack of sufficient capacity to supply gas to different parts of the country increased the consumption of this material and caused a shortage of both industrial electricity and gas in the consuming industries; A factor that now, after a few months, its effects can be clearly seen in the financial statements of companies.

Hands full of global economy

The third factor, which we have mentioned so far as an influential variable on other factors, is the developments that have taken place in global markets, which these days show themselves in the context of interviews and comments of economists.

A review of previous reports suggests that the global economy, according to central banks, is still awaiting rising inflation.

Because curbing inflation in these economies has always preceded a recession, it has been suggested that both central banks in Europe and the Bank of England are likely to raise interest rates following the Federal Reserve.

An examination of the managers’ purchasing index in the two monetary areas of the euro and the pound shows that both of these economies have recorded weak numbers in this leading factor of the recession.

While the Federal Reserve has raised interest rates by half a percentage point in recent months, the possibility has been raised by Federal Reserve officials that interest rates could rise again.

It is worth mentioning that Fed’s action in recent weeks has dealt a fatal blow to the price of commodities and has caused the stock index to Exchange New York is facing a significant decline.