Market reviews and recommendations of BCC Invest JSC (Kazakhstan) analysts for September 23, 2010

23.09.10, 18:03
/IRBIS. September 23, 2010/ - BCC Invest JSC has provided IRBIS with a survey of main events, market reviews and investment ideas for September 23, 2010. Analysts of JSC "BCC Invest" is once again expected to multi- directional opening trades at KASE on a background of mixed multidirectional close of trading on the shares and depositary receipts of Kazakhstan issuers yesterday in London. Further, during the day dynamo trading in the local market will depend on investor sentiment in global financial markets Analysts of JSC "BCC Invest" and expect the following developments on Kazakhstan markets today: - Money supply in Kazakhstan in January-August 2010 increased by 12.5% to KZT8 trillion 424.6 billion informed the National Bank on Wednesday. During August 2010 the money supply grew by 0.3%. The volume of cash in circulation since the beginning of the year grew by 17.1% to KZT1 trillion. 69.8 billion (August decline by 0.2%). The monetary base (reserve money) from the beginning of the year increased by 3% to KZT2 trillion. 523.4 billion (in August - has shrunk by 2.9%), the narrow monetary base (does not include time deposits of banks in the National Bank) - increased by 10.4% to 2 trillion. 165.5 billion (increased by 4.9%, respectively). - National Bank of Kazakhstan sees no reason for fluctuations in the domestic foreign exchange market, the deputy chairman of the National Bank Mr. Daniyar Akishev. "Those predictions, which now exist, based on the dynamic of the balance of payments, foreign trade and so on and not give grounds for some anxiety about the situation on the domestic foreign exchange market," - he told to journalists in Astana on Wednesday. - National Bank of Kazakhstan in January-August 2010, acquired in the domestic market of $ 2.5 billion, "Over the last 8 months of 2010, the National Bank bought in the domestic market of $ 2.5 billion," - deputy chairman of the National Bank Mr. Daniyar Akishev on Wednesday at the plenary session the Senate of Parliament. - Majilis of the Parliament of Kazakhstan at the plenary session on Wednesday has approved a draft law "On Making Amendments and Addenda to the Law" On national budget for 2010-2012. "The document sent to the Senate. Revenues and expenditures adjusted republican budget of Kazakhstan for 2010 increased by KZT139.4 billion. As a result, the adjusted parameters of the republican budget are as follows: revenue - $ 3 trillion. 517.8 billion, expenditures - KZT4trillion 321.4 billion, the deficit - 803.6 bln. In part of the clarification of macroeconomic indicators for the current year, the government has kept inflation forecast for 2010 in the corridor of 6-8%. - Fitch Ratings affirmed the ratings of Mangistau Electricity Distribution Company (MEDNC): Long-term Issuer Default Rating (IDR) in foreign currency at the level of "BB", a short-term foreign currency IDR "B", a long-term local currency IDR "BB +" and a national long term rating "AA-(kaz)". The outlook on long-term ratings - "Stable". Simultaneously, Fitch affirms the senior unsecured debt of the company in a foreign currency at the level of "BB" rating and senior unsecured debt in national currency "BB +". Ratings MEDNC linked with the sovereign rating of Kazakhstan (long-term foreign currency IDR "BBB-" / long-term local currency IDR "BBB", outlook on both ratings is Stable), but are at a low level, which reflects the lack of evidence from the parent structure Company, JSC Samruk-Energy (in an indirect 100-percent state ownership), its readiness to provide timely financial support MEDNC if necessary. Fitch views the independent business position and financial performance of the company as the corresponding weak rating "BB-". - Kazakhtelecom (Kazakhstan) reported the results of an extraordinary general meeting of shareholders held on September 20, 2010. Extraordinary General Meeting of Shareholders Kazakhtelecom decided: on the basis of a tender to determine LLP Ernst & Young as an audit firm for 2010 for audit of consolidated annual financial statements Kazakhtelecom. It was also decided to elect the Board of Directors Kazakhtelecom at the time provided by paragraph 12 of Article 30 of the Charter Kazakhtelecom Mr. Sarsenov Adilbek Gazizovich (representative of the Company Bodam BV). Analysts of JSC "BCC Invest" and expect the following developments in international markets today: - In Russia, the significant economic and corporate events are expected. - Europe will be published by PMI index values in the manufacturing and service sectors in France, Germany and the Euro zone. - U.S. at 18:30 (AST) will be published data on the number of weekly applications for unemployment benefits, and 20:00 (AST) are data on sales of existing homes in August, and will be published value of the index of leading indicators for August. Analysts of BCC Invest JSC are giving the following advice for investors in securities of issuers in internal market: ---------------------------------------------------------------------- Issuer Last price Target Predicted price. code price % Recom- mendation ----------------- ------- ---------- ------ ---------------- --------- Kazkommertsbank KKGB 395 479 +21.27 Neutral KKGBp 200 335 +67.50 Buy Halyk Bank HSBK 310 386 +24.52 Buy Bank CenterCredit CCBN 535 646 +20.75 Hold Tsesnabank TSBN 960 1,030 +7.29 Neutral KazMunaiGaz RDGZ 15,700 22,300 +42.04 Buy Kazakhmys PLC GB_KZMS 3,200 3,392 +6.00 Hold ENRC PLC GB_ENRC 2,194.50 2,858 +30.23 Buy Kazakhtelekom KZTK 14,900 19,200 +28.86 Buy KZTKp 7,200 9,300 +29.17 Buy MREK MREK 1,100 1,130 +2.73 Hold ---------------------------------------------------------------------- The given material has exclusively information character and is not the offer or recommendation to make any transactions with the stocks. Agency Irbis doesn't take responsibility for the opinions which are in given material. [2010-09-23]