Fixed Income
April 25, 2013
Quotes for Ukrainian sovereign Eurobonds moved substantially lower last week after the IMF cut its projections for 2013 global economic growth. For Ukraine specifically, the IMF slashed its growth forecast from 3.5% - a figure which in any case had never appeared to be grounded in reality - all the way to zero. The global lender also radically cut its FY13 inflation forecast for Ukraine to just 0.5% from above 7%, presumably based on the sluggishness of macroeconomic indicators. Long-term benchmark Ukraine-22 sovereigns fell 4.1% to 99.0/99.8 (7.9%/7.8%) and medium-term Ukraine-17s slid 2.7% to close at 97.5/98.5 (7.4%/7.1%).
