Dram took course to depreciation again

ArmInfo.  Significant and uniform volume of the stock exchange and the forex interbank cannot save Dram from depreciation. Thus, on August 31 to September 4 inclusive, the forex transactions on NASDAQ OMX Armenia grew almost 3-fold, getting even with the volume of the interbank forex, which had a 11-fold decrease (against 13-fold increase of August 24-28). As a result, Dram demonstrated depreciation to dollar in June from 474 up to 478.3AMD/$1 and reaching 485.5AMD/1$ by August 24, dropping from 484.3/1$ by August 28 (following the intervention) returned to the coure of 485.5AMD/1$.

The press office of the CBA has told ArmInfo that on August 31 to September 4 the transactions on NASDAQ OMX Armenia totaled $8.750 mln, forming an average exchange rate of 485.11 AMD/$1.  The stock exchange was working three days on Momday, Wednesday and Thursday with maximum volume on August 2 - $5.1 mln. The forex interbank within the reporting week demonstrated volume of $8.7mln. forming course at the level of 485.39AMD/1$ in average. The course on the stock exchange and forex interbank from the beginning of the current week demonstrated ascending trend.

The source says that in the intrabank currency market (transactions with customers) the banks bought $66.7 mln on August 31- September 4 at the average exchange rate of 482.60 AMD/$1, and sold $82.6 mln (down 42% versus the previous week) at the average exchange rate of 484.82 AMD/$1. In the meantime, the banks bought 5.6 mln EUR (down 19%) at the average exchange rate of 540.37 AMD/1EUR, and sold 10.6 mln EUR (up 27%) at the exchange rate of 546.79 AMD/1EUR. The banks also bought 786.5 mln RUR (22% decline) at the average exchange rate of 7.20 AMD/1RUR and sold 272.1 mln RUR (49% rise) at the exchange rate of 7.13 AMD/1RUR

During the previous week of August 31 - September 4, the Armenian banks provided AMD loans worth 39.1 bln AMD and USD loans worth $20.9 mln. As compared with the previous week (17-23 August), and by AMD loans rose by 2.97% and USD declined by 6.9%.  To recall, during the last months of 2014 the forex market of Armenia registered a sharp rise of the AMD/USD exchange rate - over 570 AMD/1USD. In the retail forex market of Armenia, by August 28 (following the CB intervention) AMD/$ exchange rate was at the level of 484.3 AMD/$1 losing in relation to Euro - up to 544.5AMD/1EUR, stabilizing in relation to the ruble - 7.4AMD/1ruble.  By September 4 dram depreciated to dollar to the level of 485.5AMD/1$, insignificantly strengthening to Euro and ruble: up to 540AMD/1EUR and 7.3AMD/1ruble, respectively.