U.S. dollar market of Kazakhstan: day results

/IRBIS, March 20, 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) -------------------------- -------------- ------------- ----------- ----------- Instrument 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 Weighted average rate 141.59(-0.08) Not indicated - - Volume of the session(mln) 5.065(-7.445) 0.400 0 0 Ask 141.56 - - - Bid 141.58 141.50 - - Number of participants 17 4 3 3 -------------------------- -------------- ------------- ----------- ----------- Indicative US dollar quotations in the interbank market in the information system REUTERS at KASE sessions closing (disregarding settlement dates) -------------------------- -------------- -------------- ---------- ----------- Ask 141.55 141.46 141.49 Bid 141.61 141.56 141.57 ------------------------------------------------------------------------------- Notes: Best bid and ask prices at closing of the trades are shown as the Exchange quotations. By indicative interbank quotations of the dollar in REUTERS information system, tenge gained 12 points in comparison with previous day closing both on demand and on supply of the American currency. Today the conjuncture of currency market was unusually passive. "Exhalation" of the market in the morning session of KASE, where an average volume of trades was registered, did not find any support in the afternoon. Quotations were put out sluggishly, spreads grew, and inclination of tenge towards firming was being observed throughout the second half of the day. Only at the last moment, and just before closing of the market, dealers made a faint attempt to raise the dollar, which was apparent by indicative quotations of interbank market. How successful were these attempts - is not clear. At the Exchange forward quotations were rarely put out in the trading system and they were not logic and constant. Feature of the day - high rates for interbank "overnight" tenge deposits compared to those of previous days. Quotations of the shortest money were increasing from the morning (10/16 APR) and reached 12/20 APR in the evening. Activity in repo sector of KASE has risen also. Actually, for one day the money was being attracted at 15.0% APR in the evening, for three days - at 13.0% APR. Based on the price conjuncture of the short money it can be said that the banks lack free funds, and which was close to critical in the evening. Specialists of the agency IRBIS does not exclude that this circumstance was caused by approaching deadline for income tax payments by 1999 results. The last day - April 15, however, most of the bank clients are making payments now. Activity of the market on Friday, which was mostly speculation driven, did not help the short term liquidity of the banks to rise. Therefore, today the growth potential of the dollar sharply fell, notwithstanding the forecasts of the dealers and IRBIS analysts. Under the current situation it seems hard to predict the continuation of an upward trend of the exchange rate of the dollar for near future for sure. It is likely that on Tuesday tenge will gain some points against USD, and the Exchange rate of the dollar will try to get closer to official rate.