Debt Markets Today - August 12, 2021. Russian Weekly Inflation at Zero, Strong OFZ Auction Results, Kazakh Inflation Accelerates in July

CIS EUROBOND MARKETThe strong demand for Russian sovereign Eurobonds seen earlier this week, which provided support in the wake of the sharp uptick in US Treasury yields, faded yesterday - as a result, long-dated issues slid in price. Meanwhile, local government bond yields continued to rise, remaining on the upward trend they have been on since the beginning of the week. Meanwhile, yesterday's weekly auction results were strong again.GOVERNMENT DEBTEarly on yesterday, OFZ yields continued to rise, adding 1-3 bps and remaining on the upward trend they have been on since the beginning of the week against a more challenging global backdrop. They ended the day at those levels. Meanwhile, yesterday's weekly auction results were strong again, despite the deteriorating external conditions and a significant rise in OFZ yields in recent days (see our story below).STORIES> Weekly price growth in Russia climbs back to zero last week> Stronger revenues push Russia's budget surplus to R890.3 bln in 7m21> Bi-Weekly FICC Strategy: Rise in US Treasury yields resumes> OFZ Auction Results: Finance Ministry again exceeds weekly borrowing target at auctions> Inflation in Kazakhstan rises to 8.4% y-o-y in July