Financial news

Swiss franc almost equals to US dollar

International foreign exchange market . Euro has reached today its historic maximum against US dollar – 1,6037. British pound has exceeded the level of US $2 per pound, and Swiss franc almost reached the US dollar price level.

Consumer prices in Great Britain hit the record raise in June by 3,8% in per year calculation and by 0,7% per month (analysts expected growth by 3,6% and 0,4%, respectively).

With economic expectations decrease in Germany euro has experienced a short term drop by 35 points, but as a result of multiple stops renewed its growth trend. Its index in June equaled to 63,9 points.

Last week sales in US retail networks grew in per year calculation by 2,7%. The US producer price index raised by 1,8% compared to the previous month. Nevertheless, these data could not change the situation in favor of US dollar that raised only by 20-40 points.

Technical levels of the main currency pairs at 16:34 КТ :

On Wednesday, July 16, world currency exchange rates can be affected most by the following macroeconomic data ( Kiev time):

09:00 — Germany — consumer price index ;

11:30 — Great Britain — unemployment rate ;

12:00 — EU — consumer price index in euro zone;

15:30 — USA — consumer price index;

16:00 — USA — volume of American securities purchase by foreign investors;

16:15 — USA —industrial production volume;

20:00 — USA — dwelling price index.

At the Ukrainian interbank foreign exchange market trading course changed drastically after the NBU decision to renew currency interventions, that led to increase of the USD buying rate up to 4,75/$1, compared to 4,74/$1 last time on July 10.

Trade opened at UAH 4,585/4,62 per US dollar, showing trend for US dollar strengthening, which soon after the beginning reached the level of 4,61/4,63. In spite of this, the National Bank of Ukraine informed market participants of its readiness to buy currency, thus providing support to US dollar which exchange rate escalated up to 4,65/4,70 per $1. However, its rate decreased afterwards and by trade closure amounted to 4,62/4,66, compared to 4,585/4,60 on Monday.

The majority of deals has been concluded today at the rate of 4,61/4,64, compared to 4,595/4,615 per $1 previous day. During next sessions the US dollar may occupy weaker positions until the market offer becomes so high that the NBU can buy currency in order to recover market balance again.

The situation at DEPO-market remains the same, as the outflow of UAH liquidity is periodically recovered due to the NBU interventions.

Overnight in UAH is fluctuating invariably within the limits of 1,0/6,0% per year, while weighted average price of actually concluded transactions slightly changed and equaled to 2,9%, compared to 3,0% the day before. The volume of transactions by 17:00 KT totaled UAH 2.56 billion, with 3.32 billion according to Monday's trading results.

Rates on credits for a period “from 2 to 7 days” remain almost invariable today at the level of 3,0/13,0%, compared to 2,0/14,0% yesterday. Weighted average price on actually concluded transactions has significantly dropped and equaled to 6,5%, compared to 10,4% the day before. The decrease in interest rates has boosted the volume of issued loans, which has grown up to 245 million., compared to 75 million on Monday.

Actual rates on credits for a period “from 22 to 31 days” are today within the range of 10,0/16,0%, against 13,0/18,0% at previous day's trading session.

Because of NBU interventions overnight in US dollars have grown up to 4,0/6,0%, against 3,0/5,5% on Monday.

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

[You can subscribe for Banks news]