07.11.2019, 14:06
Russian Government Debt Market Overcomes Failure after Sanctions Against UC Rusal
Source: OREANDA-NEWS
OREANDA-NEWS. In October, foreign investors significantly increased their investments in the Russian state debt: the share of non-residents' investments in federal loan bonds (OFZ) for the month increased by 2.4 percentage points (or 233 billion rubles) up to 31.4%, the Central Bank said in the "Review of the risks of financial markets". This is the maximum since May 2018, when it amounted to 32.3%. After the introduction of sanctions against UC Rusal in April 2018, it began to decline and at the beginning of this year reached its minimum level of 2.5 years for 24.4%, but then again moved on to growth.
The cost of the Russian public debt in recent weeks is constantly updating historical highs. The index of Russian government bonds RGBI on Tuesday, November 5, for the first time in history closed above the mark of 150 points. The full yield index of Russian government bonds, which takes into account coupons paid on bonds and their reinvestments, also closed at Tuesday's next maximum of 557.27 points. On Wednesday, November 6, both indices closed slightly below the peaks reached.
The interest of foreigners in OFZ auctions after a sharp reduction a month earlier (up to 19%) again returned to the average values for 2019, the Central Bank indicates: their share increased to 37%.
The cost of the Russian public debt in recent weeks is constantly updating historical highs. The index of Russian government bonds RGBI on Tuesday, November 5, for the first time in history closed above the mark of 150 points. The full yield index of Russian government bonds, which takes into account coupons paid on bonds and their reinvestments, also closed at Tuesday's next maximum of 557.27 points. On Wednesday, November 6, both indices closed slightly below the peaks reached.
The interest of foreigners in OFZ auctions after a sharp reduction a month earlier (up to 19%) again returned to the average values for 2019, the Central Bank indicates: their share increased to 37%.
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