Financial news

The US dollar decreased at the Ukrainian interbank foreign exchange market

International foreign exchange market. The euro/dollar has not practically changed today, pound sterling and Swiss franc increased a little.

In the course of European trading session in Great Britain , reviewed data on GDP level for the first quarter of the current year were published. Under the pressure of such information, pound sterling dropped, but this decrease was not significant. But after it became known that business environment in the Eurozone deteriorated in June to 0.14 points, Great Britain pound sterling began to grow up sharply. The euro kept increasing for a while but soon afterwards began to lose its positions and decreased to the level of day's opening.

Oil prices reached their next high — more than the mark of USD 141 per barrel.

Technical analysis of schedules with 1 day interval shows that pound sterling and euro in short-term perspective will continue their strengthening in world environment.

Technical levels on main currency pairs as of 17:27 КТ:

At the Ukrainian interbank foreign exchange market, on the last day of the week the dollar decreased to its low since October 1999, having practically approached the mark of UAH 4.5 per $1. Currency inflows to the country which can be observed at present in the market, ensure the offer much exceeding this currency requirement which against the background of the NBU non-intervention creates pressure on the currency and support the hryvnia which since the beginning of the week has strengthened its position by 10 kopecks. Yesterday's interventions of the NBU were not significant which only stimulated even further decrease of the dollar at today's trading.

Today's session opened at 4.56/4.58, but the dollar could not keep this position for a long time. Soon afterwards, the US currency rate began to decrease having stopped by session closure at 4.54/4.55 per $1 which is by 2-3 kopecks lower than yesterday's level.

The major portion of deals was concluded today by market participants within the limits of 4.545/4.56 with 4.59/4.60 per $1 a day earlier.

At the DEPO-market, rates on interbank credits are today in “green zone” which is caused by traditional limitation of offer on reporting date. Despite the fact that commercial banks' balances with the NBU increased to the level of the end of April –more than UAH 17 bn, offer limitations in connection with reporting date had more influence which finally resulted in significant interest rates increase.

UAH overnight credits was today within the limits of 18.0/30.0% with 14.0/20.0% a day earlier. Average weighted price on actually concluded deals increased at this by 21.9% from 16.5 % a day earlier. The volume of transactions by the end of the session decreased to 2.3 bn from 4.16 bn according to previous trading results.

Rates on credits for a period “from 2 to 7 days” also increased today and fluctuate within the limits of 18.0/30.0% with 18.0/24.0% on Thursday. Average weighted price on actually concluded transactions increased to 21.2% from 19.4% a day earlier. Such significant rise in cost of resources resulted in no less significant decrease in concluded transactions volumes. The amount of actually concluded transactions decreased to 93 m from 304 m yesterday.

Rates on credits for a period “from 22 to 31 days” are today within the limits of 17.5/20.0% against 16.0/24.0% at previous day's trading.

Comments by S.N.KRAMAROVA, Head of the Treasury, PRAVEX-BANK

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