Who is responsible for the current state of the stock market?

According to Tejarat News, the total index of the stock market began a downward trend from August 2019, and the stock market is still on the course of correction. This fall of the stock market had various reasons, but who is to blame for the fall of the stock market?

Javad Fallahian, a capital market expert, said in a conversation with Tejarat News: What happened in the stock market almost started with the previous government, and nothing special has happened to improve the situation in the new government. Sometimes, due to the lack of knowledge in the economic team of the 13th government, this has actually caused the deplorable situation in the capital market to continue.

He continued: It became clear to everyone that in the previous government, by falsely raising prices and selling shares, a part of the government’s budget deficit and expenses were resolved. In normal market conditions, the government should take steps to improve the capital market, but; Government officials have repeatedly said that the stock market is the country’s economic showcase.

What are the risks of the stock market?

Falahian explained: In the last one year since the 13th government has passed, various risks have entered the capital market. Some of the risks include the discussion of canceling the market price of automobile companies, taxes on the export industries of companies, and finally, the prolongation of the JCPOA debate has caused a lot of damage to the capital market.

This capital market expert stated: The discussion of mandatory pricing has also been re-applied on the market in the 13th government. For example, it is reported that a bag of cement costs 50,000 tomans or that a car must be sold at a certain price. On the other hand, there are news about handing over the Commodity Exchange to the Ministry of Security. In my opinion, the stock exchange organization should strongly resist.

Referring to the price of the dollar, he said: the price difference between the free dollar and the half dollar also has a negative effect on the capital market. Investors are hesitant to buy and sell stocks due to the events.

Fallahian finally said: If we put all these factors together, we will see that an insecure atmosphere for investing in the capital market will be created.

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