Market reviews and recommendations of BCC Invest JSC (Kazakhstan) analysts for May 19, 2011

/IRBIS. May 19, 2011/ - BCC Invest JSC has provided IRBIS with a survey of main events, market reviews and investment ideas for May 19, 2011. The analysts are expecting a mixed and multidimensional opening on KASE on ambiguous exterior background. During the day, the KASE index stock quotations dynamics will be also multidimensional, and the KASE index would probably end the day with moderate increase. Analysts of JSC "BCC Invest" expect the following developments in international markets today: - Ministry of Finance of Kazakhstan placed on the KASE on May 18 MEUKAM 15.8 million-84 of the ninth issue (KZKDKY070099) at 4.00% per annum. May 18, 2011 in the trade system of KASE specialized trades were held on placement of government treasury bonds of the Ministry of Finance of the Republic of Kazakhstan MEUKAM-84 release 9 with maturity of 7 years (2,520 days) and Coupon Payments 1 per year. The volume of active orders, the proportion of pension market was 34.9%, the share of Kazakhstan's second- tier banks (STB) - 28.7%, clients of STB - 22.8%, broker- dealers - 2.7%, their customers - 10.9%. According to data of Central Securities Depository, all transactions on placement MEUKAM-84 of the ninth release by the end of calculations based on trades executed. 29.3% of the total outstanding bonds were redeemed by the subjects of the pension market, 7.9% - STB, 57.5% - STB clients, 0.3% - broker-dealer firms, 4.9% - clients of broker-dealers. - On May 23, 2011 in the trade system of KASE will be held specialized auction on placement of long-term treasury bills of the Ministry of Finance of the Republic of Kazakhstan (MEUKAM) on the following conditions (Almaty time). As the price the order value must be specified coupon rate percent per annum of the nominal value of the bond, expressed to the second decimal place. This indicator is the subject of bargaining. - Financial performance of this spring showed that the economy of the EU is out of crisis, said European Commission President Jose Manuel Barroso. "The euro has gone through the test in these turbulent months, but was never threatened by collapse," - said Mr Barroso, speaking at an economic forum "European Business Summit" in Brussels. However, one of the causes of the crisis was described by him as careless attitude to fiscal policy. In his view, the implementation of economic reforms left much to be desired, was inadequate coordination between national authorities of EU Member States. European Commission President believes that the EU takes collective responsibility for this situation. In his view, the situation today has changed for the better. Imposed strict rules of economic governance stabilize the euro area and make it a "bulwark of future economic growth." One of the conditions of this perspective are the consolidated finance, he believes. Barroso acknowledged that the eurozone countries' alignment-rooted imbalances are painful", but, he says, it is an inevitable path, and eventually the positive results are evident. The analysts of "BCC Invest" are expecting the following events on international markets today: - the publication of data on international reserves is awaited in Russia; - at 14:30 (AST) in Great Britain the data on retail will be published, at 16:00 (AST) - on Trend Total Orders and Trend Selling Prices from CBI. In Italy at 15:00 (AST) the data on trading balance will be published. - In USA at 18:30 (AST) the data on primary and secondary applications for unemployment benefits will be published, at 19:45 (AST) - on consumer comfort index and economical expectation from Bloomberg, and at 20:00 (AST) - on sales on secondary estate market, on leading indicators and on Business Activity index of FRB of Philadelphia. - The following companies present their reports: OCI Co Ltd, Tokyo Electric Power Co Inc, National Grid PLC, Salesforce.com Inc, Ltd Brands Inc and others. Analysts of BCC Invest JSC are giving the following advice for investors in securities of issuers in internal market: --------------------------------------------------------------- Closure Target Potential, Issuer Code price price % Recommenda- tion ---------------- ------- -------- ------ ---------- ----------- Kazkommertsbank KKGB 458 583 +29.27 Neutral KKGBp 198 196 -1.01 Neutral Halyk Bank HSBK 333.03 415 +24.61 Hold BankCenterCredit CCBN 497 646 +29.98 Hold Tsesnabank TSBN 865 1,030 +19.08 Neutral EP KMG RDGZ 18,050 20,500 +13.57 Buy Kazakhmys PLC GB_KZMS 3,054.85 3,870 +26.68 Buy ENRC PLC GB_ENRC 2,000 2,550 +27.50 Hold Kazakhtelecom KZTK 19,200 Review KZTKp 9,100 9,300 +1.90 Hold 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. IRBIS Agency doesn't take responsibility for the opinions which are in given material. [2011-05-19]