Between August 12 and 26, 2024, the Armenian stock market was under pressure. ACBA Bank shares corrected by 2.3%, while Telecom Armenia shares fell by 3.6% after a slight recovery in the second half of the month. This was stated in an economic digest by Freedom Broker Armenia.
The report notes that the decline in Telecom Armenia shares could be partly attributed to the release of second-quarter GDP statistics, which indicated a contraction in the telecommunications sector, despite stronger-than-expected overall GDP growth.
"The three-year corporate bond price index remained stable during the period, despite the Central Bank's rate cut. However, we expect that continued monetary easing in the economy and low levels of current and forecasted inflation in the country should support debt instrument prices. The currency exchange rate slightly strengthened by 0.4% during the specified period," the digest states.
Overall, according to Freedom Broker Armenia, the exchange rate has remained relatively stable since early June, trading in the range of 385–391 USD/AMD. "If the decline in exports and the widening trade deficit continue, coupled with the central bank's rate cut, this may put some pressure on the exchange rate," Freedom Broker experts noted.
