Investment strategy Correspondent
Sujata's Feed
Apr 17, 2015

Russian bond rally spilling into local debt on rate cut expectations

LONDON, April 17 (Reuters) – A months-long Russian Eurobond
rally that drove some sovereign debt prices to multi-year highs
is spilling into rouble bonds, with double-digit yields and the
promise of interest rate cuts luring foreigners.

Russia’s most-traded dollar bond, due 2030, has risen 18
cents since end-January to its highest since November 2013
. The average yield premium paid by Russian
sovereign bonds to Treasuries has shrunk 2 percentage points
this year, to around 3.5 percent.

Apr 16, 2015

Analysis – Emerging shares seen lagging developed countries for fifth straight year

LONDON (Reuters) – The roaring stock market rallies of the United States, Japan and Europe show no sign of reaching most emerging markets, where lacklustre economic growth and company profits point to a fifth straight year of lagging performance.

Emerging markets are the black hole in the global equity picture at a time when Wall Street has hit record highs, European stocks are at seven-year peaks and Japanese markets at the highest in 15 years, buoyed by central bank money-printing and recovering economies. .SPX .TOPX

Apr 16, 2015

Emerging shares seen lagging developed countries for fifth straight year

LONDON (Reuters) – The roaring stock market rallies of the United States, Japan and Europe show no sign of reaching most emerging markets, where lackluster economic growth and company profits point to a fifth straight year of lagging performance.

Emerging markets are the black hole in the global equity picture at a time when Wall Street has hit record highs, European stocks are at seven-year peaks and Japanese markets at the highest in 15 years, buoyed by central bank money-printing and recovering economies. .SPX .TOPX

Apr 15, 2015

Oil boosts rouble to buck weaker emerging markets

LONDON, April 15 (Reuters) – The rouble jumped to its
highest in more than four months on Wednesday as oil prices
rose, bucking generally weaker emerging markets that were
pressured by lacklustre Chinese growth and fresh losses in the
Turkish lira.

Chinese stocks, which hit seven-year highs recently, posted
their biggest fall in a month after data showed the economy grew
in the first quarter at the slowest pace since 2009
. This pressured Asian stocks, taking the MSCI emerging
equities index further off recent six-month highs.

Apr 9, 2015

Main players in Ukraine debt battle prepare to face off

LONDON (Reuters) – Three years after facing off over Greece’s debt workout, the two giants of debt restructuring – Lazard and Blackstone – are again preparing to do battle, one for Ukraine and the latter on behalf of its creditors.

The aim of having private investors take a $15.3 billion hit on their Ukrainian debt holdings as part of a $40 billion international rescue package sounds like peanuts compared to Greece, where creditors took a 75 percent haircut on 200 billion euros of debt. But Russia’s involvement this time is injecting an extra frisson: accused of supporting an anti-Kiev insurgency, Moscow is also a prominent creditor potentially capable of derailing the plan.

Apr 9, 2015

Holders of $10 bln in Ukraine bonds form creditor committee

LONDON, April 9 (Reuters) – The five leading holders of
Ukrainian sovereign and quasi-sovereign bonds have formed a
creditors’ committee to propose a solution to Kiev’s debt
problems, but resist plans for a writedown under an IMF-led
bailout deal.

The committee’s creation was announced in a statement
received by Reuters on Thursday from the Blackstone Group and
law firm Weil, Gotshal and Mange, which are advising Ukraine’s
biggest creditor Franklin Templeton. The asset manager is
estimated to hold over a third of Ukraine’s outstanding
sovereign debt.

Mar 31, 2015

Equities set to gain for quarter, dollar pressures currencies

LONDON, March 31 (Reuters) – Emerging market equities rose
0.4 percent on Tuesday and were on track for their first
quarterly gain since mid-2014, thanks primarily to robust
Chinese markets, though most currencies fell versus the dollar.

The dollar has enjoyed its best quarter since 2008, rising 9
percent against a basket of currencies and putting
pressure on most emerging market assets. However, the prospect
of more stimulus has led Chinese equities to rise 16 percent
. The Shanghai index fell 1 percent on Tuesday, off
seven-year highs.

Mar 27, 2015

CORRECTED (OFFICIAL)-London or Paris: which is the club for Russia’s Ukraine debt?

LONDON, March 26 (Reuters) – A legal conundrum is
threatening plans to ease Ukraine’s debt burden and possibly its
entire $40 billion IMF-led bailout: should a $3 billion Eurobond
held by Russia be classed as bilateral sovereign debt or a plain
vanilla bond?

Kiev is trying to persuade holders of its Eurobonds to swap
them for new ones with a lower face value, a reduced interest
rate and a longer repayment period.

Mar 26, 2015

London or Paris: which is the club for Russia’s Ukraine debt?

LONDON (Reuters) – A legal conundrum is threatening plans to ease Ukraine’s debt burden and possibly its entire $40 billion IMF-led bailout: should a $3 billion Eurobond held by Russia be classed as commercial paper, or as bilateral sovereign debt?

Kiev is trying to persuade holders of its commercial bonds to swap their bonds for new ones with a lower face value, a reduced interest rate and a longer repayment period.

Mar 25, 2015

Russian debt rally accelerates, Eurobonds at multi-month highs

LONDON, March 25 (Reuters) – Russian dollar bonds rallied
sharply on Wednesday, sharing in the rouble’s run to three-month
highs and riding a wave of local banks’ demand for hard currency
paper.

A ceasefire between Ukraine and pro-Russian separatists has
more or less held and oil prices have steadied, allowing Russian
assets to outperform emerging peers recently.