EghtesadOnline: A report published by the economic research department of Tehran Chamber of Commerce, Industries, Mines and Agriculture show that the currency market was the worst-performing market in the first four months (March 20-July 22) of the present fiscal year.
Comparing the average USD and euro exchange rate in the first four months with average rates of major currencies quoted last year, the TCCIM reported a 25.6% increase in the former and a 22.6% rise in the latter.
This is while indicators for other markets showed annual triple-digit growth rates during the same period.
The report, available on the TCCIM website, reviewed the performance of forex, gold, real estate and capital markets based on data from the Central Bank of Iran, according to Financial Tribune.
Accordingly, one USD on average was sold for 135,400 rials in Tehran's open market during the four-month period compared to the average 108,000 rials last year.
A euro was traded at 154,000 rials on average during the period while it was worth 127,000 rials on average last year.
In recent months the CBI has launched efforts to stabilize the currency market and boost the rial after the national currency lost more than 60% of its value following steep fluctuations last summer.
Thanks to the regulator’s intervention in the market, undertaken mainly by strengthening the demand-supply mechanism, the rial has regained 40% of its value.
The greenback is currently traded for 114,500 rials in the open market, moneychangers in Tehran said over the weeks.
A euro is being traded in the region of 126,500 rials.
Gold Price Trends
The report said the benchmark Bahar Azadi gold coin was traded at 45.7 million rials ($402) on average in the four month while it cost 21.6 million rials ($190.3) during the same period last year. The figures reveal a 111.4% rise YOY.
Likewise, each Emami gold coin was traded for 47.3 million rials ($416) during the period, up 111.1% compared to the corresponding period a year ago.
Despite the whopping annual growth, the gold market has been largely sluggish in recent weeks as the yellow metal traditionally takes influence from the domestic currency market.
Azadi gold coin this week was sold for 40.8 million rials while each Emami gold coin was worth 41.1 million rials in Tehran.
The TCCIM report showed that the capital market outperformed all other markets during the mentioned period.
Data on capital market performance is presented based on base index of 100 points in the year 2016-2017 (2016-17=100).
Accordingly, the value of equities traded in the capital market increased by 392.3 points compared with the same period last year to reach 507.2 points by July 222, posting a dramatic annual growth of 341%.
The index for the number of shares traded in the stock market rose from 107.7 to 383.8 points (based on 2016-17=100) in the current fiscal year to register 256.4% annual growth.
Average cost for one square meter of real estate (housing) in Tehran was 126.5 million rials ($1,114) during the period under review, up 102.4% compared to the same period last year when one meter on average was worth not more than 62.5 million rials.
The consumer price index was 174.8 points during the period to register 50.5% growth on a year-on-year basis. Tehran's CPI with 175.2 points registered a 49.2% growth YOY.
CPI for urban areas was 173.3 indicating 49.2% growth YOY.