January 11, 2016 / 10:15 AM / in 3 years

UPDATE 1-Kazakh tenge hits fresh all-time low as oil extends slide

(Updates with secondary session, analyst comment)

ALMATY, Jan 11 (Reuters) - The weighted average of the Kazakh tenge fell to a fresh all-time low of 356.88 per dollar on the Kazakhstan Stock Exchange on Monday from 351.88 on the previous trading day.

The price of crude, the biggest hard currency earner for the the oil-exporting Central Asian nation, fell more than 1 percent on Monday as China’s economic slowdown dented the outlook for demand. Monday’s decline added to last week’s drop of more than 10 percent in both Brent and WTI prices to start the year.

The Russian rouble, the currency of Kazakhstan’s main trade partner, also weakened against the dollar on Monday and some analysts said oil was likely to reach $30 per barrel, predicting that the rouble would fall to 78.3 per dollar this week from the current level of 75.5.

Aivar Baikenov, head analyst at Asyl-Invest investment house, said the rouble’s weakening to 77-80 per dollar could push the tenge past the 370 mark.

“(But) we do not expect a move past 380, that would require another significant drop in the oil price to the tune of 20-25 percent,” he said.

The stock exchange holds a main morning session, ending at 11:00 a.m. (0500 GMT), and a secondary session, which ends at 3:30 p.m. (0930 GMT), every day.

On Jan. 6, Kazakhstan’s central bank began using the weighted average rate of the previous day’s two sessions as the official rate. Previously, it used only the morning session rate to determine the official exchange rate.

Below are the results of trading on Monday and Friday, based on combined two-session figures.

Jan 11 Jan 8

Weighted average rate (per $1) 356.88 351.88

Volume traded ($ mln) 137.600 114.500 (Reporting by Mariya Gordeyeva and Olzhas Auyezov; Editing by Toby Chopra)

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