Domestically-traded Ukrainian equities were broadly lower on Thursday (Nov 5) after international monitors reported a rise in truce violations along front lines with pro-Russian separatists. Both sides have been pulling back weaponry since an expanded ceasefire was declared on Sept 1. The UX index fell 2.0% to close at 774 points. The steel sector stocks were notable losers, with Azovstal (AZST) dropping 5.1% to 54 kopecks and Yenakievo Steel (ENMZ) declining 2.4% to UAH 16.00 per share. Heavyweight CentrEnergo (CEEN) slipped 1.6% to UAH 5.27 and Motor Sich (MSICH) edged down 0.3% to UAH 2023. Meanwhile, the hryvnia gained 1.3% against the dollar on the interbank market to close at bid/ask of 22.65/22.80 UAH/USD after the NBU’s announcement that the country’s foreign reserves rose to USD 13bn in October. London-listed Ferrexpo (FXPO) climbed 1.3% to GBp 32.00 and Avangard (AVGR) advanced by 4.9% to USD 1.29.
Fixed Income
Ukraine’s outstanding sovereign Eurobond issues were flat on Thursday ahead of their expected Nov 12 exchange, with Ukraine-23s remaining at 79.5/81.5. In corporate debt, DTEK-18s rose 1.0p.p. to 47.0/52.0 (46.9%/41.2%) and Ferrexpo-19s declined by 0.4p.p. to 64.3/66.7 (27.0%/25.6%).
POLITICS AND ECONOMICS
- NBU Reserves Up USD 200mn to USD 13bn in October
FIXED INCOME
- Gov’t to Swallow Kyiv City’s USD 550mn Eurobond Debt in Restruc
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