Market reveiws and recommendations of Financial Company REAL INVEST.KZ (Kazakhstan) analysts on july 26, 2010

/IRBIS, July 26, 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 26, 2010. JSC Finance Company REAL Invest.kz notes the following significant developments on the world stock, commodity and currency market: - bidding for major venues in Europe and the United States on Friday ended growth. The beginning and most of the trading took place sluggishly and at very low revs - the market participants, on the eve of publication of results of stress tests of European banks were unwilling to take risks. The situation has changed closer to the afternoon, when the values of the major U.S. indices have escaped to mark the growth of more than 1%. For tests that were conducted banks in Europe market participants are still many questions, particularly regarding the methodology for their conduct, but official results, according to which the capital adequacy of only 7 out of 91 banks could not reach to the required mark of 6%. Growth in Europe was on the order of more modest - the maximum result reached the German DAX, has added 0.4%. - emerging markets' platforms have closed on Friday moderate growth, the external positive factors expressed by the positive closure of the western areas on Thursday, were leveled fears of market participants regarding the publication of stress tests, that throughout the trading session the quotations constrained at low levels. - barrel of light crude Light Sweet-up to Friday's session has not shown any change of quotations, most of the day had a "sideways", and the completion of trades took place near the mark of $ 79 - the opening level of the day. - demonstrated similar dynamics and quotes troy ounce of gold, though the only difference was the closing of the day with lower elevations, although reduction was of nominal. In general, the contract price of an ounce of gold for more than 12 trading sessions held in a fairly narrow range of prices, which is probably due to the decline in demand for the precious metal from investors, on the background of "risk appetite". - currency pair EUR/USD and GBP/USD trades in a walk Friday in general, showed similar dynamics - both currency pairs managed to push off from the support levels and significantly close to the recent local maximum, located at the levels of 1.30 in the first case, and slightly less than 1.55 second, which once again proved the accuracy of coincidence of our previous forecasts. Analysts of "REAL Invest.kz" believe that the two currency pairs now have a good chance to reach and overcome the above mentioned peaks, but a considerable role in this will play the character of the publications of corporate reports. Analysts JSC "Finance Company" REAL Invest.kz" also notes the following major developments in the Kazakh market: - Management of Kazakh oil company Zhaikmunai LP is subject to criminal liability for illegal oil exports to Finland, the press service of the Western regional transport prosecutor's office. As stated in the press service, the Ural Transport Prosecutor's Office revealed that the LLP Zhaikmunai in the period from January 1 to February 18, 2009 in Finland exported 31,849 tones of crude oil, while government licenses for those activities association was only on Feb. 19, 2009 year. In this regard, the leaders LLP Zhaikmunai in May this year, a criminal case under Art. 190 Part 2 (illegal business) of the Criminal Code of the Republic. Analysts of "REAL Invest.kz" expect a negative impact on share prices of the company. - National company KazMunaiGas came on a par with Shell Kazakhstan Development conditions in the capital of the company agent in the North-Caspian project - NC Production Operations Company BV (NCPOC). The transaction is carried KMG Kashagan BV (100% subsidiary, KMG "). By signing this agreement, KMG and Shell Kazakhstan Development "became an official partner of operations for the extraction and exploitation, which allows them to combine their efforts for the timely implementation of the project, emphasized in a press release. According to the operating model of the North-Caspian project, NCPOC, being an agency company, is authorized to conduct mining operations and maintenance on behalf of the North Caspian Operating Company (NCOC) - operator of the Agreement on the PSA. Analysts of "REAL Invest.kz" noted that 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. 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. [2010-07-26]