Debt Markets Today - September 12, 2019

CIS EUROBOND MARKETRussian sovereign quotes eased again yesterday morning amid a further rise in US Treasury yields, which began to climb overnight on Tuesday, when the Russian market was closed. Russian sovereigns lost as much as 1.5 pp at the long end before gradually recovering to previous levels. By the close, the largest decliner was the Russia 47 (-0.6 pp). Activity was dominated by nonresidents.GOVERNMENT DEBTOFZ yields climbed 2-3 bps along the curve yesterday morning before heading back (after Russian weekly inflation data was published) to close largely flat. Some long-dated bonds were yielding 2 bps lower by the close. Trading was not particularly active, with volumes reaching R17 bln. Some R5 bln was traded in the OFZ 26229 that was placed yesterday at auction. It appears that some investors decided to take profit on paper acquired at the auction. Activity was evident only from local investors.STORIES> Russian consumer prices ease 0.1% in the week to September 9> Government ramps up spending in August> Opening a recommendation to buy the mid-dated OFZ 26227> Consumer inflation in Belarus slows to 5.7% y-o-y in August