Market reviews and recommendations of BCC Invest JSC (Kazakhstan) analysts for October 25, 2010

/IRBIS. October 25, 2010/ - BCC Invest JSC has provided IRBIS with a survey of main events, market reviews and investment ideas for October 25, 2010. Analysts of JSC "BCC Invest" now expect a neutral opening index KASE. Further, during the day, according to JSC "BCC Invest", the dynamics of trades at the KASE will be moderately positive on the background of the beginning of a new trading week. JSC "BCC Invest" also note the following important events in the Kazakh market: - Moody's down grades of JSC Kazkommertsbank, JSC Halyk Savings Bank of Kazakhstan, JSC Bank CenterCredit and JSC Alliance Bank. Moody's downgraded the long-term senior unsecured and subordinated debt ratings of Kazkommertsbank, Halyk Savings Bank of Kazakhstan, Bank CenterCredit and JSC Alliance Bank. According to the JSC "BCC Invest", the message is a negative for stock prices and bonds Alliance Bank, Bank CenterCredit JSC, People's Savings Bank of Kazakhstan and Kazkommertsbank. However, the likely impact on the quotation will be short, and if the rating agencies S & P and Fitch do not follow Moody's, then the quotes of stocks and bonds as soon restored, and, consequently, the current decline an excellent opportunity for shopping. - JSC "KazMunaiGas (" KMG "), opened oil fields to exploration block Lyman, the company said Friday." Inflow of oil obtained in the first exploratory well at a depth of 1200 meters from the Middle Triassic deposits, "- says message. According to the report, "reservoir is located on the southern slope of the salt dome Novobogatinsk" and is in close proximity to the developed industrial branch "EMG" KMG oilfield Novobogatinsk South-East, 70 km west of the Atyrau (adm. center of Atyrau region, west) . The daily production rate of 24 cubic meters, with 5 mm chokes. In the context of the passed predicted the presence of three more additional pay zones. Detection of light crude oil density of 34 API points to the existing potential suprasalt deposits in the region, where currently the company conducted extensive seismic studies in the 3D volume of 300 sq. km.. The program works company in 2011, is scheduled to detailed study and evaluation of detection for early entry into development. According to the JSC "BCC Invest", the message is positive for stock prices, and depositary receipts of Exploration and Production KazMunaiGas, since evidence not only of extensive production growth through the acquisition of new assets, but also the attention of company management and also to its own exploration program. Analysts JSC "BCC Invest" confirm the recommendation to "buy" shares and depositary receipts of Exploration and Production KazMunaiGas with target prices of KZT22,300 per share and $ 25.30 per GDR. - Rating agency Standard & Poor's upgraded long-term corporate credit rating ZhaikMunai LP from level B- to level B, and assigned a final credit rating of the newly issued bonds ZhaikMunai Finance BV at B. Analysts of JSC "BCC Invest" and expect the following developments in international markets today: - In Russia the publication of important macroeconomic statistics and corporate reports are not expected. - In Europe, the publication of important macroeconomic statistics is expected. - in the U.S. before the opening of trading at 18:30 (AST) will be published index of general economic activity of the Federal Reserve Bank of Chicago in September. After the market opened in 20:00 (AST) will be published data on sales of existing homes in September, as well as the index of manufacturing activity of the Federal Reserve Bank of Dallas in October. - reporting season continues. Today accountable Invesco Ltd., Texas Instruments Inc., Amgen Inc., BE Aerospace Inc., And others. In China, reports Aluminum Corporation of China, India - Tata Motors Ltd. 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 426 479 +12.44 Neutral KKGBp 215 335 +55.81 Buy Halyk Bank HSBK 330 386 +16.97 Buy Bank CenterCredit CCBN 586 646 +10.24 Hold Tsesnabank TSBN 940 1,030 +9.57 Neutral KazMunaiGaz RDGZ 15,700 22,300 +42.04 Buy Kazakhmys PLC GB_KZMS 2,190 3,392 +54.89 Neutral ENRC PLC GB_ENRC 3,100 2,858 -7.81 Buy Kazakhtelekom KZTK 15,800 19,200 +21.52 Buy KZTKp 8,130 9,300 +14.39 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. [2010-10-25]