Overview of key developments from analysts of Asyl Invest JSC (Kazakhstan) on February 22, 2011

/IRBIS, February 22, 2011/ - JSC ASYL INVEST (Almaty) provided IRBIS overview of major events and of their investment ideas and forecasts on February 22, 2011. Analysts of JSC ASYL INVEST note that trading on the Kazakhstan stock market on Monday ended in the lateral dynamics of the index KASE. Trading activity of market participants was relatively low. In terms of the index change has not been strong. Trading in shares and depositary receipts of Kazakhstan issuers on the London Stock Exchange ended multidirectional price dynamics. KMG GDR went up by 0.9% on the back of rising oil prices due to unrest in the Middle East. GDR banking sector finished the trading session side-price dynamics. Shares of mining companies have fallen in price amid falling prices for base metals because of the deteriorating situation in Libya and the tightening of monetary policy the Central Bank of China. Kazakhmys shares were down 2%, shares of ENRC - by 1.5%. The worsening situation in the Middle East today generates negative external background for the shares and depository receipts of Kazakh issuers. As a result of today's trading analytics of JSC ASYL INVEST expected to reduce the index of KASE. In addition, the analysts of JSC ASYL INVEST note the following events in world markets: - Trading in the United States on Monday not conducted in connection with a Presidents Day celebrations. - Today the U.S. stock market will probably open up a gap down in the bidding if the situation in Libya did not improve. On the negative external background, market participants likely will ignore domestic economic statistics. Today in the U.S. there are data on U.S. consumer confidence index for February. Economists predict a rise in this index with 60.6 points to 65 points. Analysts of JSC ASYL INVEST considers such a reasonable prediction, given the rise in oil prices, rising stock markets, improving the employment situation over the past few weeks. Also today, the U.S. will be published data on house price index from the S&P/CaseShiller for December and the data on an index of manufacturing activity from the Federal Reserve Bank of Richmond in February. In general, analysts ASYL INVEST expected to reduce the major U.S. stock indices on the basis of todays trading. Investors of ASYL INVEST are not yet recommend the use of these weakening markets for opening long positions. The best dynamics in the auction today probably will show the sector, "Oil and Gas sub-sector and the" Platinum and Precious Metals "sector" basic materials". - During the entire session on Monday the main stock indexes in Western Europe were moving synchronously and were influenced by events in the Middle East. Trading in Europe ended in the major indexes falling for aggravation of the situation in Libya, where yesterday according to news agencies there was a bombardment of cities covered by the popular uprising, as well as targeting of civilians. Negative moment for the markets was also the news that ratings agency Fitch Ratings downgraded the credit rating of Libya from BBB + to BBB because of the efforts of political risk. According to the Fitch, the agency may again lower the ranking of the country, if not finding a political solution to the crisis. Economic statistics, published in Europe, the impact on the trades have not had. Better than expectations of economists came out yesterday, the data on the composite index of the Euro zone PMI for February and data from the Ifo in Germany in February. - Today, trading on major stock markets in Western Europe will end lower major stock indexes. Negative impact on the trades will continue to assist the situation in the Middle East. Against the backdrop of riots in Libya today, dramatically more expensive oil. Prices for WTI crude oil is added almost 8%. Also, there is growth in gold prices. As a consequence, the best dynamics in European trading today may show the shares of oil companies. Economic statistics published in Europe today, will have no impact on trading. - Major Asian stock indexes in the region today, fall to the background of deterioration of the situation in Libya. 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. [2011-02-22]