Tehran Stock Exchange Surges: A Resurgent Market Eyes Sustained Growth
A Landmark Rally
In a significant and historic session for Iran’s capital market, the Tehran Stock Exchange (TSE) witnessed a powerful and broad-based rally this Saturday. The main market index, TEDPIX, staged a remarkable comeback, climbing by 57,737 points to decisively re-enter the pivotal 3-million-unit territory, closing at a robust 3,036,000 units.
This upward momentum was not confined to heavyweight stocks. The equal-weighted index, which gives a more democratic view of the market by considering all companies equally, also posted strong gains. It rose by 11,154 points, breaking through the significant psychological barrier of 881,000 units, confirming widespread participation in the positive trend.
Key Drivers of the Surge
The day’s impressive performance was fueled by major industry leaders. Key symbols such as Fameli and Fars played a pivotal role, collectively contributing over 15,000 points to the index’s ascent. They were strongly supported by other giants, including Foolad, Webmelat, Nouri, Parsian, and Sepana, which together added another 14,000 points.
Trading activity was vigorous, with Webmelat and Khosapa emerging as the most traded symbols, each seeing over one billion shares change hands. Analysis of cash flow revealed a strategic movement of capital, with the most significant inflow of real-money going into major index players. Shabandar led with an inflow of 47.3 billion tomans, followed closely by Webmelat (44.3 billion) and Foolad and Fameli (44 billion each).
From a sectoral perspective, the Basic Metals group led in trade value at 271.3 billion tomans. It was followed by Banks (267.5 billion), Chemical Industries (177.5 billion), Oil Products (172.7 billion), and the Automotive group (166.4 billion). The parallel market, Iran Fara Bourse (IFB), also shared in the optimism, with its index rising by 225 points to reach 26,532 units.
Market Analysis and Cautious Optimism for Sunday
Market analysts have described Saturday’s session as a major psychological boost for the entire market. The powerful return of the main index to its key level, supported by strong sectoral performance and significant real-money inflow, points to a renewed confidence among key market players.
The simultaneous positivity in both the TSE and IFB indices further validates the strength of this upward trend. The concentration of high-value trades in foundational sectors like basic metals and banking indicates the presence of substantial capital and institutional interest.
Outlook for the Next Session
Looking ahead to Sunday’s trading, the outlook is one of cautious optimism. The strong evidence from Saturday—including the index’s return to a crucial level, high trade volumes, and strategic capital inflow—suggests a potential for the positive momentum to continue at the week’s opening. Buying pressure is expected to remain high, particularly on yesterday’s top performers and leading sector groups.
However, analysts advise vigilance, noting a recent pattern where the market has experienced corrections at the end of the week. Consequently, there is a possibility of increased selling activity during Sunday’s final trading hours, especially for symbols that have experienced sharp gains. The key to Sunday’s trajectory will be the continued performance of major index drivers and the sustainability of the positive cash flow. A continuation of these trends would strongly support the market’s consolidation at these higher levels.