Market View

• Fixed income

  The sovereign outperformed the global risk-off (which was substantially reversed in the afternoon), supported by a landslide opposition victory in Hungary. We closed 50c higher with some underperformance in the contingents. In the quasi-sovereign space, there was a bit of weakness in NAFTO, compounded by confusion after Bloomberg changed the calculation method to “flat of accrued” without any actual clarity from the issuer. Other bonds were calm, with slightly better bids in MHP, VODUKR and METINV.

• Equities

  Ukrainian foreign-listed stocks were mixed yesterday, with the KP-Dragon index closing 0.7% lower. FXPO fell 3.6% to GBp 43 on low turnover, followed by KER (-2.5%) and AST (-0.8%). Meanwhile, IMC gained 4%, while MHPC traded between $8-8.7 range and closed at $8.08. KYIV edged up 0.1% to $11.6 on $7.2m turnover. With global markets trading higher today, we expect Ukrainian equities to open stronger.