09 Декабря 2019

Quotes for Ukrainian sovereign Eurobonds declined notably last week amid a worsening outlook for the country’s steel sector, with positive news about a fresh IMF program for Kyiv arriving on Saturday after markets had closed. The latest data indicated that Ukraine’s nationwide steel output slumped by 15.8% YoY to 1.31mn tonnes in November. National steel production for 2019 (through November) is essentially flat year-on-year at 19.3mn tonnes. The medium-term benchmark Ukraine-24s slid 3.5% to 106.2/106.9 (7.4%/7.2%), and Ukraine 32s, the longest outstanding sovereign issue, dropped by 1.1% to 99.6/100.4 (7.5%/7.4%). The VRI derivatives (linked to Ukraine’s future GDP growth with expiration in 2040) were down by 1.6% to 90.0/91.0 cents on the dollar.