At KASE the market of the dollar reverses under a minimum activity of the dealers

/IRBIS, Oct.5, 00/ - Today the next morning trades in U.S. dollars, Deutsche marks and euros with TOD payment terms were held at Kazakhstan stock exchange (KASE). 16 banks participated in the trades. Today the trades in U.S. dollars opened at KZT142.47 per unit. Total of 2 deals were made. Weighted average dollar exchange rate equaled to KZT142.47 (+0.07) per unit. Volume of the session - $505 th. (-$6.045 mln). Exchange rate fluctuation during the trade - 0.03%. The trades were closed at KZT142.50/51 per dollar. Today, as it was forecasted by the agency IRBIS yesterday in the evening, there was a feeling as if the dollar was "oversold". Big amounts of free money in correspondent accounts of the banks, that the National Bank was trying to clean up by holding the auctions of the notes three days now, are having their impact. The market has frozen. The trades in U.S. dollars at the Exchange were held under a minimum activity of the traders. Of all the banks, that were registered in the trade system, only three showed some activity. But, their dealers limited themselves to minimum number of deals made during the closing minutes of the session as well. No price compromise was found during the trades. Therefore, 7 point growth in the weighted average rate of the dollar at the Exchange today should be taken into account with some proviso. The banks could have been more active today. But, today professional participants (actually, yesterday in the afternoon) have to pay KZT6.3 bln for MEKAM and notes they purchased during the first three days of the week. It is a big amount that can neutralize excessive liquidity of the BST. More likely that in the morning the dealers did not know their allowed limits on currency transactions, which became the reason for them to be extremely passive. It restrained logical desire to "play upwards" under a current situation. Feeling the possibility of the trend reversal, the dealers were cautious. It is possible that the banks will have the last word to say at the day session. However, in the opinions of IRBIS analysts, the market can remain inactive today expecting the repayment of the first part of state securities in this week and the results (actually, the consequences) of the notes-42 and MEKKAM- 12 offerings. One hour after closing of the morning session on interbank over-the-counter market of Kazakhstan dollar was quoted at KZT142.40/47 per unit. Two hours later - at KZT142.44/49. At the day session of KASE with TOD payment terms at 12:30PM the dollar quoted at KZT142.46/49 per unit, the last deal was made at KZT142.48. The volume of deals did not exceed $50 th. so far. Deutsche mark, morning session, TOD: no deals. Closing demand - KZT63.60 for a mark, no offer. Euro, morning session, TOD: no deals. Closing quotations were absent.