Review of key events and forecasts from ASYL INVEST JCS (Kazakhstan) analysts for October 28, 2011

/IRBIS, October 28, 2011/ - ASYL INVEST JCS (Almaty) provided IRBIS with the review of main events and its investment ideas and forecasts for October 28, 2011. Analysts of ASYL INVEST JCS note the following tendencies on Kazakhstani and world markets: - Euphoria reigns on Asian session after Asians did not have time to play the positive news on U.S. GDP. The third quarter growth of the world's largest economy was 3.5% due to growth in household consumption. Japan's Nikkei today grows by 1.25%, Hang-Seng - 1.9% and Shanghai Composite - 1.0%. Futures on major U.S. indices today added 0.9%. To report at this time, U.S. companies in the vast majority have done better forecasts. Among the most significant reports, Advanced Micro Devices EPS showed results above expectations at 51.5%. Earnings per share of Motorola Mobility Holdings exceeded expectations by 114%. U.S. futures today are adjusted, decreasing by 0.3%. - Tonight in the U.S. will be published the U.S. data on personal income and spending for September, as well as the consumer confidence index, the University of Michigan. For all indicators increase is expected. - Commodity markets today are adjusted after takeoff on yesterday. Quotes of WTI oil and Brent are down by 0.4%. Copper in electronic trading in New York dropped by 0.2%. Gold prices today are at elevations of yesterday's close. The euro/dollar drops by 0.1% in the correction to yesterday's growth. - The news background is neutral for the mining companies in Kazakhstan, but quotes of Kazakhmys, ENRC and KMG EP can continue moderate growth in demand growth to rising paper. Shares of the banking sector on the positive in Europe should grow in value as they are behind the commodity companies. - Analysts of ASYL INVEST continue to recommend to "buy" on Halyk Bank common shares, as believe that even after yesterday's rise to 229 tenge per share, they are extremely attractive. Shares are valued at nearly only balance value, which is not reasonable for the Bank, which has high growth prospects of net income and return on equity (ROE) due to higher net interest margins, reduce costs to the formation of provisions, effective control of operating expenses, the presence of significant levels of liquidity and low debt burden. - Simple and preferred shares of Kazakhtelecom have high potential for growth after the company announced the sale of its 49% stake in mobile operator GSMKazakhstan LLP. Selling shares at a far higher price than it is recorded on the balance sheet will have positive impact on the company's net profit in 2012 and is likely to give shareholders greater dividends in 2012 and a significant increase book value of common shares. This material has only informative 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 given in this material. [2011-10-28]