The Tehran Stock Exchange today hit a record high, up nearly 4 percent in two days. The benchmark index rose to more than 17900 on Monday, pushing the exchange's total value to more than $80 billion, up from $70 billion in mid-July (AP, 30 August).
The recent sharp rise in stock index is thought to be driven by state-run firms trading in each other’s stocks and purchasing the IPO shares of newly “privatized” state-owned companies.
9 comments:
Down playing the reasons for the stock exchange surge??? I dont understand why you have to change the news article, you do claim to be a factual source for news on iran, please live by your own words.
Original article:
Tehran Stock Exchange index hits record high
2 hours, 54 minutes ago
(AP:TEHRAN, Iran) The Tehran Stock Exchange has hit a record high, shooting up nearly 4 percent in two days.
The benchmark index rose to more than 17900 on Monday, pushing the exchange's total value to more than $80 billion, up from $70 billion in mid-July.
The months-long rise is being driven by trading by state-run firms, increased liquidity and the government's push to privatize a number of public sector firms by next year, according to analysts.
Iranian officials are looking to privatize more than 500 state firms to generate some $12 billion.
Copyright 2010 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
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Anon,
The facts in both articles are very same, to the details of the index value! The analyses are not the same. I do not have to accept AP's analysis to be factually correct.
The difficulty is when you start creating your own news, you have no supporting evidence. You claim the last few days 4 percent increase can be attributed to state companies buying new IPOs. Where is your source/evidence to this. While APs "analysis" names three possible reasonings. Its fine to give your opinion on something but than it needs to be clear this is your view and otherwise if its a fact, than it needs to be provided with a source/evidence.
At least with the Tehran Stock market a normality of trading is taking place unlike the casino trading of the NYSE, LSE or DAX. Are you always so anti Iranian establishment!
to the last anon.
AMIN
Anon 12:12 PM,
Analysis is not creating news. It's analyzing the news. I do not need to list my sources for analysis, the source is me! If you do not agree with my analysis, please go ahead and offer yours, if any different than AP's.
Anon 12:20 and 12:50,
A word of caution: do not get hyped up on stock markets, especially using the data for political purpose. You will not be the first to loose dearly as a result.
On anti-establishment comment: you think an "anti" establishment blogger would even cover the news of the record setting day in Tehran Bourse? In this blog we are covering all important developments in Iran, anti or pro establishment is not our worry. Read on all the news on the military development in the country for example.
Again a word of caution, do not use stock market numbers to prove your love or dislike of the current government, it will come back, sooner than you expect, to haunt you.
Refering to my thoughts to the increase, i believe its a mix of people switching from property speculation and iranians pulling investments back home due to economic crisis abroad and higher returns back home in iran. Additionally, my feeling about growth in the TSE is purely economic and not political. Irans market capitalization of 80 billion is far below irans economy of 350 GDP, not to mention 700 billion GDP PPP. I recently read that foreign investment groups will begin to invest due this great potential in the market. Not to forget that irans market is currently the 2nd best preforming stock exchange in the world, according the world stock federation, not to forget this inspite of multiple sanctions.
Anon 2:56 PM,
Thanks much for your thoughtful comments. Do you suspect any bubble effect in the current market, from real estate to stocks? If so, how serious this could be? Is there any explanations for state-owned companies to be so active in the current market? Or do you believe they are not?
If you have time to write a analytic piece on the Tehran's Bourse, we will be more than happy to publish it under your name or anonymously as you wish. You can email it to nuskowi@gmail.com.
Thanks again.
Thank you for your comments. I would be happy to write something up and send it to you!I also appreciate your understanding that i meant no disrespect earlier by my comments!
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