Tehran Stock Exchange remains volatile

Business Materials 29 May 2016 17:22

Baku, Azerbaijan, May 29

By Farhad Daneshvar - Trend:

Tehran Stock Exchange (TSE) main index has dropped by 303 points to reach 76,387.

According to the TSE website May 29, 954 million shares worth about $ 64 million were dealt in 70,103 transactions by the end of day at the stock exchange.

The TSE main index over the past two months has been volatile following a positive reaction to the implementation of the Joint comprehensive Plan of Action (JCPOA) Jan. 16 which resulted in the removal of nuclear related sanctions on the Islamic Republic's key energy and financial sectors.

The index jumped 25 percent in January when international sanctions against the Islamic republic were lifted as a result of the implementation of the nuclear deal.

A group of observers suggest that difficulties in banking ties and money transactions are among the main reasons for recent falls in the market.

Most of international leading banks seem reluctant to do business with Iran as they are worried about running afoul of US regulations.

In a bid to address concerns of overdoing business in Iran, the US Secretary of State John Kerry met with heads of some of European banks in London on May 12 where he reassured that the bankers are not going to be held to some undefined and inappropriate standard.