Market reveiws and recommendations of Financial Company REAL INVEST.KZ (Kazakhstan) analysts on july 16, 2010

/IRBIS, July 16, 2010/ - JSC Finance Company REAL Invest.kz (Almaty, REAL Invest.kz) provided to IRBIS overview of major developments in Kazakhstan and the world markets on July 16, 2010. JSC Finance Company REAL Invest.kz notes the following significant developments on the world stock, commodity and currency market: - European indexes finished trading in the red zone. The American Stock Exchange finished trading mixed. On Thursday came out the following information: the number of initial applications for unemployment benefits declined for the past week with 454 thousand to 429 thousand, is expected to decrease to 450 thousand; industrial prices in June fell by 0.5% (m/m), analysts predicted that the figure on a monthly basis will decrease by 0.1%, industrial production in June rose by 0.1% (m/m), while the forecast was a decrease of 0.1%. - American sites have opened in negative territory, and before dinner there was a negative movement of indices. Nevertheless, in the second half of the day quotes majority of the shares started to grow up. However, DowJones and could not get into positive territory. Yesterday, its financial results, presented an American bank JPMorgan Chase & Co. Net income totaled $ 4.8 billion compared with $ 2.7 billion during the same period a year earlier. Net profit of American company on Google results I half of 2010 amounted to 3.7 billion dollars - 27% more than up to the I half of 2009. The dynamics of the "best market" during the day showed the paper electricity, as well as shares of the financial sector. Today, investors' attention will be focused on the publication of financial results of Citigroup Inc, and General Electric. - Venues in developing countries have also completed the day different directions, particularly from the BRIC countries, but only one of Russia's RTS closes the growth of 0.1%, while all other participants of an informal alliance fell within the range of 0.2% - to 0 6%. The general trend of the volatile trading for global stock and commodity platforms was not an alien and platforms emerging markets, which are also after a good start, showed decline, and towards the end of trading were able to neutralize most of the losses. - The price of oil could not hold at $ 77 per barrel is likely to affect the factor of unfavorable forecasts for the world economy, especially slowing of industrial production in China. As a result of the day the price fixed at $ 76.09 per barrel - The cost of an ounce of gold continues to move upward and remains faithful to its dynamics, which is based on short-term fundamentals, remain effective as a reliable tool for investment. The price of gold futures for August delivery today on the results of trading on the COMEX rose by 1.30 dollars or 0.1% to the value of U.S. $ 1,208.30 per troy ounce. - The result ended the trading session was the consolidation of positions in the currency pair EUR/USD and GBP/USD at around 1.28 and 1.54, the next bid will identify how sustainable will be occupied positions. It is expected the publication of corporate reports of U.S. companies, whose results will be clear of traffic on these currency pairs. Analysts JSC "Finance Company" REAL Invest.kz" also notes the following major developments in the Kazakh market: - Zhaiknmunai (ZKM LI) intends to commission the installation of gas treatment by December 2010. Oil "Zhaikmunai plans by December 2010 to commission the plant for processing gas at Chinarevsk gas condensate field."Installing the processing of gas will be put into operation no later than November 30, 2010" - the company says. The Company also informs that the Ministry of Oil and Gas of Kazakhstan has allowed her to continue flaring until September this year. - The Board of Directors of Uranium One approved the deal, which resulted in control of a Canadian company to get Russian uranium holding Atomredmetzoloto (ARMZ), and recommended that the shareholders at an extraordinary meeting on August 31 to vote for its adoption. The Board took into account the opinion of the ad hoc committee, formed of independent directors, as well as evaluating finkonsultanta CIBC World Markets and the fairness opinion CIBC and BMO Capital Markets, said the report Uranium One. Under the transaction, the conditions of which was announced in June, ARMZ must make to pay the additional issue Uranium One 50% stake in the joint venture Akbastau and 49.7% stake in the JV Zarechnoye (Kazakhstan), and cash amounting to $ 610 million of this amount, a minimum of $ 479 million will be paid to shareholders of Uranium One as a bonus for a change of control. If the Japanese conglomerate Japan Uranium Management Inc. (JUMI) avails itself of the show to redeem convertible bonds Uranium One and decides to leave them at home, the amount of monetary contribution ARMZ and number of shares issued by a Canadian company in favor of the JSC will rise. While the news is positive, the analysts of "REAL Invest.kz" do not expect changes in stock price Uranium One, because market already reacted to the deal with ARMZ, UUU CN increased by more than 30% since the beginning of June 2010 According to "REAL Invest.kz", the most attractive stories among the shares of Kazakh companies are RD Kazmunaigas, Kazakhtelecom and Halyk Bank. Especially attractive look and EP Kazakhtelecom, as both companies are very strong balance sheet with low debt burden, the EP's net debt at all negative, ie cash flows of the company exceed liabilities. Besides their business generates more free cash flow, which allows them to pay a very solid dividends. Dividend income on preferred shares of KMG and Kazakhtelecom is 6-8% and 3-4% of ordinary shares. In addition, shares of these companies are traded much cheaper than the shares of similar companies in other emerging markets. This material is for informational purposes and is not an offer or recommendation to perform any transaction in securities. Agency IRBIS is not responsible for the opinions expressed in this material. [2010-07-16]