USD/KZT at closing of the day - 139.19/29 (indicators)

/IRBIS, Jan.12, 00/ - According to REUTERS, at closing of interbank currency market of Kazakhstan on January 12 tenge quotations towards US dollar equaled 139.19/29 tenge per dollar. Compared to the results of the previous day tenge lost 27 points against US dollar on demand and 30 points on supply. In main (morning) session weighted average rate of the dollar with TOD terms equaled 139.10 (+0.14) tenge per dollar and closing quotations - 139.10/11. At closing of additional day session with TOD terms (3:00PM Almaty time) dollar was at 138.94/99 tenge per dollar. In the evening trades with TOM and SPT terms dollar was not quoted. Dynamics of dollar quotations in interbank market indicated that the American currency was apparently growing. Its price remained above the levels of the Exchange throughout the day. Spreads began to grow immediately after closing of the Exchange trades, where they were fixed at 4 points. By closing of the market they rose to 10 points. According to the poll of REUTERS, dealers do not exclude the possibility of growing the dollar exchange rate till the end of the month, referring to limited volume of exporters' earnings and abundance of tenge in the market. Another factor that caused the exchange rate of the American currency to grow was demand for cash dollars of the population. In dealers' opinion, it was forced by pension payments for KZT30 bln tenge. Traders also stress on fast decrease in the exchange rate of the rouble towards the dollar at MICEX. The Moscow situation is considered indirect factor influencing the dynamics of the dollar in Kazakhstan. At the same time, currency dealers of Kazakhstan note that the situation is completely under the control of the country's head bank, which tries to satisfy the demand accumulated during the holidays at KASE by dollar interventions and maintains quite reasonable and understandable tenge devaluation rate. Based on today's results of the trades at KASE, it is successful in doing so, since the activity of the exchange market has lowered, volume of deals has fallen 10 times. Trying to neutralize an active monetary mass and increased liquidity of the banks of the second tier the National Bank offered notes with 35 days of circulation today. Demand was far above KZT2.5 bln, the emitter took KZT1.7 bln of that, while increasing the yield up to 13.59% APR. Probably, it was the reason for today's decline in demand for the U.S. dollars on the Exchange, despite favorable current devaluation trend of 22.3% APR in last 6 days. On Thursday the National Bank plans to offer notes-49, which will also cause the activity of BST to decline in the currency sector. By today's trade results in SS at KASE, the National Bank was more flexible in terms prices, by selling SS in the secondary market. In other words, country's head bank tries to resist the current situation, which is apparent, and the regulations are market driven. Considering the abovementioned, IRBIS analysts agree on further growth of the dollar exchange rate at KASE on Thursday. However, demand would hardly be big, since Thursday is payment day for SS, which were bought in this week's auctions. Speed of the dollar exchange rate increase is expected at current level or a little less.