EghtesadOnline: After a moderate decline in the main gauge of the Tehran Stock Exchange on Sunday, TEDPIX pared its earlier gains on Monday to record its most drastic fall in the past seven months.
The TEDPIX fell over 3.6% on Monday, losing over 8,000 points to close trading session at 215,820 points. The bearish trend comes as many market analysts warn that the market will enter a correction phase after seven consecutive rallies.
The benchmark fell amid excessive selloff triggered by investors’ sentiments to save their recent profits, leading them to turn to a sale position on Monday. The trend was fortified by the free fall in major stock markets around the world.
World stocks plunged after President Donald Trump threatened to escalate tariffs on $200 billion of Chinese goods, according to Financail Tribune.
In a tweet Sunday he said he wants to raise levies on $200 billion in Chinese imports to 25% starting Friday, from 10% currently. He warned he would tax nearly all Chinese exports to the United States.
Asian markets finished broadly lower on Monday with shares in China leading the region. European markets were lower Monday by sharp falls in French and German shares. The French CAC 40 is off 2.17% while the German DAX is down 2.12%. The FTSE 100 in London is not trading.
About 5.4 billion shares valued at 14.81 trillion rials ($99.46 million) changed hands at TSE on Monday.
Iran Merinos, a company specializing in textiles and woolen merino, was the biggest winner as its shares went up 5% to 18,480 rials.
Iran Transfo Corporation incurred the biggest loss among all TSE-listed companies and went down 5.63% to 6,532 rials per share.
Mobarakeh Steel Company contributed the most to the benchmark's fall. Eghtesad Novin Bank of Iran (EN Bank) gave the biggest boost to the benchmark index.
Iran Fara Bourse’s main index IFX lost 39.71 points or 1.49% to close Monday trade at 2,623.53.
About 2.8 billion shares and securities valued at 8.71trillion rials ($58.47 million) were traded at the junior stock market for the day.