KASE: demand for dollars continue to grow

/IRBIS, Oct.21, 99/ - The next trades in US dollar, Deutsche mark and Euro were held at Kazakhstan stock exchange (KASE). 24 banks participated in the trades. Today the trades were opened in the US dollar at 140.60 tenge per unit. After a little jump up to 140.61, the dollar exchange rate began to fall quickly under the influence of enormous supply, and reached the lowest mark of the day - 140.49 tenge per unit at 16th minute of the trades. Apparently, the market was not ready to accept a high price of the dollar offered by the sellers at the beginning of the session. The second phase of the trades went in another market conjuncture. The dollar exchange rate reached the optimal value, and the market got balanced. The dollar was traded within 140.51-140.52 interval for 22 minutes without any explicit trends and with dealers working active. Last ten minutes of the session went on with growing price of an American currency. It seems as if the banks wanted to buy dollars and waited for further decrease of the exchange rate throughout the session. However, sellers had a good sense of demand and did not make a compromise. It made the initiative to go to the sellers in a final stage of the trades, and they could raise the market almost till opening level. The trades were closed at - 140.53/59 tenge per unit. 273 deals were made in US dollars. Weighted average dollar exchange rate made 140.52 (+0.04). Volume of the session - $9.895 mln (-$1.835 mln). Exchange rate fluctuation during the trade did not exceed 0.09%. As expected, demand from the banks of the second tier grew up on today's trades. However, not that much to make the dollar to be sold at any price. Temporary devaluation expectations of the participants noticeably decreased. Even if the banks strove for lengthening their currency positions, nobody wanted to buy high. The market seemed to be balanced today, and dealers' work turned out to be stubborn resistance game for their positions, which looked like win or loose game. The weighted average exchange rate formed by the results of the session became a true result of a compromise. And the balance of demand and supply reached at the trades seemed to be shaky. One hour after closing of the trades on over-the-counter market of Kazakhstan dollar was quoted at 140.60/65 tenge per unit, two hours later - 140.60/70. 4 deals were made in Deutsche mark. Weighted average exchange rate of the mark - 77.63 (-0.24) tenge per unit. Trade volume - DEM80 (+65) thousand. At closing of the session Deutsche mark was quoted at 77.55/65 tenge per unit. No deals were made in euro. At closing of the session euro was quoted at 151.10/55 tenge per unit.