U.S. dollar market of Kazakhstan: day results

/IRBIS, Feb 2, 01/ - Following is the table of major indicators of Kazakhstan market for U.S. dollar (more than 98% of country's all currency market). ------------------------------------------------------------------------------- Trades in U.S. dollars at Kazakhstan stock exchange (KASE) ------------------------------------------------------------------------------- Instrument USD TOD USD TOD USD TOM USD SPOT Session Main Additional. Evening Evening Time of trades (AST) 10:15a-11:00a 11:30a-3:30p 2:00p-6:00p 2:00p-6:00p Rate (KZT/USD) 145.17(+0.03) 145.22(+0.06) - - Volume of session (mln) 2.900(-0.760) 1.565(+0.365) 0 0 Bid 145.17 145.20 - - Offer 145.19 145.22 146.15 - Number of participants 15 9 1 1 ----------------------- ------------- ------------- ----------- ----------- U.S. dollar quotations on interbank over-the-counter market in information system REUTERS at closing of KASE sessions (disregarding settlement dates) ------------------------------------------------------------------------------- Bid 145.14 145.16 145.14 Offer 145.20 145.22 145.20 ----------------------- ------------- ------------- ----------- ----------- Notes: weighted average rate is given for main session, for additional - closing rate; best ask and offer prices at closing of the trades are shown as the Exchange quotations. By indicative interbank quotations of the US dollar in REUTERS information system, tenge lost 2 points both on ask bid and 4 points on offer bid of the American currency in comparison with previous day closing. Dynamics of the bids and the prices of the dollar on the last day of the week confirmed the absence of a solid trend on the market. Gradual growth of the American currency's exchange rate during the morning and day trades of the KASE changed into not less gradual decrease of ask bids on interbank market in the afternoon. As a result, by the closing of the day price parameters of the ask and offer bids have become identical to those fixed in the morning out of the Exchange. All these developments took place against a constant decrease of the rates of the shortest money, which were registered at 0.5/3.0% APR in the evening. These figures correspond to the market, which is saturated with free tenge. Complete restoration of short-term liquidity by the banks is also confirmed by the results of the notes-42 offering, where the issuer received the demand that exceeded announced issue volume 11.3 times. By taking KZT3.4 bln the National Bank used the demand to lower the returns of his bonds once again. The results of the notes offering are also indicative in a sense that they have confirmed the unwillingness of the second tier banks to use free tenge to work in currency circulation sector. Moreover, the growth of borrowing volumes in repo sector of the KASE up to KZT1.3 bln with decreasing rates may indicate that the banks are willing to use attracted short money to buy the notes. Thus, the market of the dollar remains mostly client oriented, where the exchange rate is determined by an objective proportion of the orders of the bank clients to buy or sell the American currency. The closing parameters of the market make it hard to make a forecast on the dynamics of the dollar at the first trades on Monday with certain degree of certainty. With the minimum deviation of the exchange rate both tenge and the dollar can grow.