U.S. dollar market of Kazakhstan: day results

/IRBIS, Feb.28, 00/ - Following is the table of major indicators of Kazakhstani market for U.S. dollar (more than 98% of country's all currency market). ---------------------------------------------------------------------------- US dollar trades at the Kazakhstan stock exchange (KASE) ----------------------- ------------- ------------- ----------- ----------- Toll USD TOM USD TOM USD TOM USD SPOT Session Main Additional. Evening Evening Time of trades (ALM) 10:15-11:00 11:30-15:30 14:00-18:00 14:00-18:00 Average weighted rate 140.32(+0.20) Not indicated - - Volume of session (mln) 9.185(+4.910) 0.300 0 0 Demand price 140.31 140.28 *140.29 *140.30 Supply price 140.32 140.33 *140.37 - Number of participants 19 4 3 3 ----------------------- ------------- ------------- ----------- ----------- Indicative US dollar quotations in the interbank market in the information system REUTERS at KASE sessions closing (disregarding settlement dates) ----------------------- ------------- -------------- ---------- ----------- Demand price 140.28 140.25 140.30 Supply price 140.38 140.30 140.37 ---------------------------------------------------------------------------- Notes: Best bid and ask prices at closing of the trades are shown as the Exchange quotations. In case of absence of such in the trade system of KASE, the last quotations marked by stars are given (in this case, for USD_TOM at 17:15PM and for USD_SPOT - at 17:30PM). By indicative interbank quotations of the dollar in REUTERS information system, tenge lost 12 points in comparison with previous day closing on demand and 16 points on supply of the American currency. The conjuncture of Kazakhstani market of the dollar becomes typical on Mondays. Now, it three weeks in a row dealers get active on this very day, which is the continuation of an upward Friday game. Distinctive feature of Monday: growth in the dollar exchange rate in the morning session. After its closing the market calms down and becomes less active. Such pattern was due to several factors. The most important of them - inflow of money after the repayment of SS at the end of the week with the absence of placements of interesting securities on the primary market on Friday, and a systematic increase in official rate of USD by the National Bank. The first factor makes the short term liquidity of the banks of the second tier (BST) in tenge to increase, which gets to extreme levels at the end and at the beginning of the week. The second factor has a certain psychological impact on the market, and to some extent, stimulates speculative movements in the trades, which is supported by growing devaluation expectations just before spring season. It should be noted though, that resulting firming pace of the dollar is regulated by the market itself with a little inference (at least at the Exchange) of the head bank of the country. This pace equals 9% APR, which is likely to suit the National Bank today. As it was mentioned above, this Monday was not an exception. The firming of the dollar in the morning session of KASE became almost the only registered fact of the growth in the price of USD on currency market of the country today. The other Exchange trades were less active. The dollar exchange rate and its quotations were inclined to decrease. Similar situation was formed on interbank market also. Tenge was inclined to grow in the afternoon here. Only evening quotations registered a compensatory growth in the price of the dollar. Based on the behaviors of market indicators, and also considering the experience of previous weeks, it seems as if USD will continue to firm in the morning session on Tuesday with high probability. However, pace of this firming will be much less than it was today.