Financial news

At DEPO-market, there is a tendency towards credit rates decrease in national currency

International foreign exchange market. Trading was not so active today as it was yesterday. The US dollar did not virtually changed in price against single European currency and Swiss franc but increased against Great Britain pound sterling.

Volume of retail sale in the Eurozone decreased in April 2008 by 0.6% in monthly calculation and by 2.9% in annual scale. Analysts expected 0.2% growth but their prognosis did not realized.

The USA presented good news: workers' number increased by 40,000 when some additional 30,000 unemployed persons were expected previously. This index will have time to positively affect the US currency exchange rate. In first quarter of current year, labour productivity in non agricultural sphere increased by 2.6% in comparison with the fourth quarter 2007.

Positive news about US economy have long-term influence, and the markets will need some time to go back to relevant macro-economic indices.

Technical levels on main currency pairs as of 17:44 КТ:

At the Ukrainian inter-bank foreign exchange market, the US dollar exchange rate improved by yesterday's interventions by the NBU which decreased offer, increased a little today. But the growth was limited as market participants bet on the supposition that the National Bank is not likely to enter the market today with purchase intention which was finally confirmed later. During the session the US dollar exchange rate was traded at 4.74/4.80, with 4.73/4.78 on the previous day.

The majority of deals was concluded today by market participants within the limits of 4.75/4.78 against 4.76/4.78 per $1 at bids on Tuesday.

At DEPO-market, a clear tendency towards rates decrease on credits in national currency can be observed.

Thus, UAH overnight rates fluctuate today within 8.0/16.0%, with 8.0/20.0% at bids on Thursday. Average weighted price on actual transactions by 17:00 KT amounted to approximately 14.0%, with 16.0% according to bids results on Thursday. Transactions volume decreased a little by 17:00 KT in comparison with the previous day — to 2.49 b, from 2.85 b. By the end of the day on Thursday, registered transactions volume amounted to 3.87 b. 

Rates on credits for a period "from 2 to 7 days" decreased today to 12.0/18.0%, from 17.0/22.0% a day earlier. Average weighted price on actually concluded transactions dropped to 16.2%, from 18.0% on yesterday's bids. Volumes of concluded transactions decreased to  153 m from 235 m in the expectation of further reduction of rates.

Rates on credits for a period "from 22 to 31 days" are today within the limits of 14,9/20,0% in comparison with 17,3/28,0% on previous bids.

COMMENTS BY S.N. KRAMAROVA, HEAD OF THE TREASURY, PRAVEX-BANK

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