TEHRAN, Iran, Nov.3
Trend:
The result of the US election would affect Tehran Stock Exchange, however, the stock index would start to grow in next 20 days, said a capital market expert.
"Iran's capital market has reached a balance while many shareholders are attracted to trading shares with the current prices, therefore, the decline of index and price of shares is over and it's possible that the market would return to grow the recent fluctuation in Tehran Stock Exchange was due to anticipation before the US election," said Hamid Mir Moeni, Trend reports citing IRNA.
"The election of Biden as the US president would create optimism towards the economy and improving economic indexes that would have a positive impact on many companies especially the ones that have been damaged by sanction's limitations and could not import parts or sell Iranian goods," he said.
He went on to say that the companies that were deeply affected by sanctions would eventually reach growth in Biden term, the political risk in the market would be less and there would be less tension comparing to Trump's term.
"There would be a decline of the market if Trump elected but the stock market would gradually grow due to changes in foreign currency rate and other markets in Iran, however, there would be fluctuations for the capital market," he added.
"In any of the two cases, the various stimulus would lead to growth in the stock exchange, if Joe Biden is elected reducing limitation of sanctions and improving economic index and increase capacities of companies would have a positive effect on the capital market, while in Donald Trump 's new term the foreign currency rate would grow and there would be a tense market," he noted.
According to Mir Moeni, it seems the balance point in the market would be created and although in the early days of Trump's reelection there would be negative days in the stock exchange in the next 20 days the stock index would stabilize.