• ACI Russia

08/07/1998 16:55:39 Russia yields soar on foreign debt fall, auctions

By Anna Smirnova

MOSCOW, Aug 7 (Reuters) - Russian treasury bill yields

soared on Friday as a finance ministry announcement of new

government paper auctions next week exacerbated a price slide

caused by foreign debt prices, dealers said.

But trading volumes were low, and dealers said that Friday's

yields would not set the mood for Monday.

"The auction announcements were bad for the trend, because

when people are under stress and they only have about two and a

half hours to take decisions, the reaction is immediate and

emotional," a Western dealer said.

"Besides, chances are high that the auctions will be

cancelled and the finance ministry announced them to be on the

safe side -- in case things do not go too badly."

The central bank said on Friday the finance ministry would

auction six billion roubles of OFZ and GFO government bonds on

August 12. The ministry has already cancelled several previously

announced sales.

ING Bank dealer Alexander Romashov said the auctions could

push prices down since they encouraged banks to accumulate funds

and lighten sections of portfolios close to the new issues.

"Today's fall is not surprising at all -- there is no money,

people are as cautious and scared as before," he said.

"But given that the fall is on low volumes, it is clear that

the levels do not reflect the real state of the market."

Treasury bill yields soared to 85.31 percent from 64.90

percent on Thursday, but Romashov said the real market level was

around 80 percent.

Dealers said the market took the government forecasts that

foreigners would withdraw eight billion roubles from government

paper by the end of the year as good news.

"Judging by the statement, the finance ministry is realistic

in estimating what is going on and is ready for what lies ahead

for them in autumn," Romashov said.

Russian foreign debt fell to new historical lows on

crumbling emerging market confidence, and dealers said the fall

helped to drag domestic debt down.

The interbank rouble-dollar market was virtually unchanged,

with most banks executing only client orders.

Aug 7 Aug 6

Average yield (% annual)

T-bills 85.31 64.90

Floating-rate OFZ bonds 101.13 84.08

Fixed-rate OFZ bonds 91.47 80.77

Turnover (bln rbls) 2.09 3.34

Funds in system (bln rbls) 1.18 1.90

C.bank sales (mln rbl,mkt val) none 640.50

C.bank buying (mln rbl,mkt val) none none

Aug 7 Aug 7 Aug 6

rouble/dollar midday morning close

today delivery 6.2830-6.2840 6.2850-6.2860 6.2830-6.2840

tomorrow delivery 6.2880-6.2890 6.2870-6.2885 6.2855-6.2865

overnight credits (%) 20-25 25-30 40-50

central bank 6.2290/6.2880 6.2240/6.2860

official rate 6.2585 6.2550

MICEX fix 6.2850 6.2840

((Moscow Newsroom, +7095 941-8520


GKO/OFZ online <0#RUTSY=MM> by maturity <0#RUTSYM=MM>

Top gainers <.PG.MM> Top losers <.PL.MM>

Central bank info <CBGKOINF> MICEX <MICEXGKO>

MIBOR/MIBID rates <MIBOR> Rouble credit rates <RUBF=>


All Russian news [RU] All debt news [D]

Russian diary [CIS/DIARY] Russia summary GLANCE/RU]

Index of summaries [GLANCE/] Russian futures <RU/FUTEX1>

2 просмотра0 комментариев

Недавние посты

Смотреть все

МОСКВА, 1 сен (Рейтер) - Средневзвешенный курс доллара в Системе электронных лотовых торгов (СЭЛТ) на 12.30 МСК составил 11,2108 рубля за доллар, сообщил Рейтер представитель Московской межбанковской

МОСКВА, 1 сен (Рейтер) - Московская межбанковская валютная биржа (ММВБ) определила списки ведущих операторов Секции фондового рынка биржи (СФР) за второй квартал и июль 1998 года, сообщила служба инфо