The end of the stock exchange trading on the edge of the cliff / interest rate jump did its job
According to Tejarat News, today the shareholders witnessed the end of the stock market trading while the total index is still in a predicament and severe recession.
Tehran Stock Exchange ended its work today, Sunday, August 2, 1401, with a drop of 9,701 units. The total index, with a drop of more than 9 thousand points, registered a figure of 1 million 463 thousand points. The equal weight index has also faced a significant drop, so that a decrease of 4,454 units stabilized this index in the range of 400,000 units.
The end of stock market trading on the edge of the abyss
Stock market trading ended today in a situation where the equal weight index is on the verge of falling to the channel of 300,000 units. The importance of this issue for shareholders is much more than the decline of the total index to lower channels. Many analysts also evaluate this as a negative sign of the market trend.
The jump in interest rates helped the market
Yesterday, the Central Bank published the interbank interest rate statistics, according to which it was found that the interest rate increased again in the last week of July 1401. According to this report, the interbank interest rate on July 30 was equal to 21.31%. This caused concern and dissatisfaction among stock market shareholders. Stock market activists have always complained about the increase in interest rates and see it as a symbol of the government’s will to promote the stock market.
Is the stock market closed on the inflation rate?
On the other hand, the publication of the July 1401 inflation report was very surprising. According to the announcement of the Central Bank, the spot inflation rate broke its 10-year record last month and reached 54%. This point has also surprised the market activists. Many people of the stock market have always seen growth due to inflationary expectations at different times and now they expect such an event to happen in the market. But the evidence shows the indifference or neglect of the stock market from the unbridled inflation in the Iranian economy.