Fixed Income
August 26, 2014
Ukrainian sovereign Eurobonds had a mixed performance last week ahead of the country’s Independence Day and a visit by German Chancellor Angela Merkel to Kyiv where she was expected to try to convince President Poroshenko of the necessity for a cease-fire in the Donbass war. Meanwhile, Economics Minister Pavlo Sheremeta resigned on Thursday (Aug 21) complaining about institutional resistance to crucially needed reforms in the government. The longest sovereign issue, Ukraine-23s declined by 0.6% to 89.4/90.9 (9.3%/9.0%), while Ukraine-17s added 0.8% to 93.0/94.0 (9.3%/8.9%). The short-term Ukraine-15 issue decreased by 0.7%, closing at 94.4/95.9 (12.6%/11.0%).
