Market reveiws and recommendations of Financial Company REAL INVEST.KZ (Kazakhstan) analysts on December 8, 2010

/IRBIS, December 8, 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 December 8, 2010. JSC Financial Company REAL Invest.kz notes the following significant developments on the world stock, commodity and currency market: - auctions on major U.S. and European sites resulted with primarily growth of quotations. Support for European players had a message that Ireland is going to bring to the budget bill, according to which the expenditure part of the cut an additional $ 8 billion in similar decision of Irish MPs, if it is finally approved, will allow analysts to readily available and then serve loan from the IMF and the EU. Following the auction, the major European indexes well gaining weight, while the German DAX reached more than two-year high, breaking the mark of 7,000 points. Trades in the United States on Tuesday opened a little less than a percent increase in quotes, however, published by the Federal Reserve Bank of Chicago estimates on the dynamics of key macroeconomic indicators in 2011 were the cause of uncertainty of traders. Thus, according to a poll Chicago Fed, consumer price index (CPI), one of the indicators of inflation next year should grow by 1.6% against 0.9% expected in 2010. At the same time the cost of government consumption and government investment next year will grow by 0.5% against a rise of 1.5% in 2010. In addition, it is expected that commercial production next year will grow by 4.3% against expected growth on 5.4% in 2010. By the end of the session encouraging the players came to nothing and end of the day for the Dow Jones index was held lower by 0,03%, S & P 500 on the end of the session increased by 0,05%. Today in the United States, there are data on the indicator of consumer confidence, - Site of emerging markets has finished last trading session of opposite changes of the indices. Pressure on the players' areas of developing countries on Tuesday, assisted reduction of the cost of most commodities, largely due to the strengthening U.S. dollar. Chinese SSEC, corrected for the past one and a half weeks, the last session was able to complete more than just 1.5 cent quotes. Today's premarket site for emerging markets is moderately negative, most Asian areas started the day with sales. - quotes a barrel of oil, after an unsuccessful attempt to consolidate above the psychological level, which is located at around $ 90 a barrel during the last session to adjust on 1.3%, finished the day even below $ 88 a barrel. Despite the fact that the main factor for the decline in oil prices acted as the strengthening U.S. dollar, it is noted that, technically, the analysis also suggests some correction oil prices, against a background of almost 12% growth over the past week and a half. - troy ounce of gold after setting a new world record at around $ 1,430, during the second half of trading on Tuesday, suddenly struck by more than 2%. In addition to the grown of the U.S. dollar is not in favor of prices, "precious metal" was played and optimistic news from the Euro zone on fiscal and debt problems of Ireland have lowered the demand for gold as a safe asset. At the same time, analysts of "REAL Invest.kz" are assumes an increase in volatility quotes troy ounces of gold before the end of the year, and noted that investors risked now purchase the asset for speculative purposes in the very short term, will suffer a lot of unpleasant and disturbing moments. - According to a forecast on the eve of HSBC, burdened with debt crisis of the euro will fall in the I quarter of 2011 to 1.2500 U.S. dollar. Bank analysts believe that the measures taken by European officials in the end prove to be insufficient for long-term strengthening of confidence in the players' strong prospects for regional European currency and the growing problems of Spain, will have just the first quarter of next year. Against this background is not too optimistic forecast, the currency pair EUR/USD fell during yesterday's session, almost on 0.8%, to close slightly above $ 1.32. - British pound, unsuccessfully tried to take a level of 1.58, on the session virtually unchanged in value. Prospects for the currency pair GBP/USD is also rather vague, that does not allow us to predict its dynamics at least for the short period of time. 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 EP KMG and Kazakhtelecom, as both companies are very strong balance sheet with low debt burden, the EP's net debt at all negative, i.e. 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. [2010-12-08]