Tehran, Iran (AP) – The Tehran Stock Exchange closed on Sunday at an all-time high, achieving 2 million emissions for the first time, even as U.S. sanctions, unemployment, inflation and low oil costs hit the Iranian economy.
The exchange showed that it closed at 2,011,492 emissions, about 50,000 emissions since Saturday. The government also filed more shares of state-owned enterprises in the market on Sunday.
The Tehran Stock Exchange has noticed sharp increases this year, even as Iran grappled with one of the first serious coronavirus outbreaks outside China.
Encouraged through a government willing to privatize state-owned enterprises, other average people now have market access and can exchange stocks, earning returns they would never see in a savings account or certificate of deposit.
But those immediate gains are presing analysts and experts about the expansion of the stock market bubble, which can be simply disastrous and end the profits of the average population coming to market.
Even Iranian President Hassan Rohani has been under siege since President Donald Trump unilaterally removed the United States from its 2015 nuclear deal with global powers, has designated the market as a rare bright spot for the country. Iran’s rial currency fell to about 230,000 from 1 against the US dollar, below $35,000 to $1 in 2015.
Founded in 1967, the Tehran Stock Exchange lists some 1,000 corporations, adding corporations such as automaker Iran Khodro. The inventory market now has a market capitalization of more than $200 billion.