04 June 2004 06:49
Positive U.S. labor data causes short-tem growth
MOSCOW. June 4 (Interfax) - The publication of good U.S. labor market statistics on Friday caused short-term growth
in price for Russian Eurobonds, although positive statistics usually evoke a different reaction from investors. In
addition operators, who had been in a sluggish mood throughout the week, livened up unexpectedly.
in May. This indicator turned out to be better than expected by
analysts - the U.S. economy in May gained 248,000 jobs, while an
increase of only 225,000 jobs was expected, which in general is
The main event on Friday, which has been expected by operators for a long time, was the publication of the number of
new jobs in the U.S.
negative for the debt market.
He forecast that on Monday a price consolidation on the Russian
sovereign debt market is most likely, against a backdrop of low
However, Troika Dialog analyst Alexander Kudrin said that an interesting situation has occurred on the Russian forex
debt market: Eurobond prices instead of falling, as expected by investors, started to grow, which was due to the closing
of short positions, that had been opened in expectation of more optimistic news.
Quotes for Russian Eurobonds maturing in 2030 gained by 0.5 percentage points. Nevertheless, by the end of the
trading day they fell to almost their initial level.
The expert also noted the fact that short-term growth in quotes for Russian Eurobonds was stronger than for other
emerging market Eurobonds and there was no growth whatsoever on the market for U.S. Treasuries. Kudrin also said that in
fact the opposite happened - when the labor statistics were published, there was a short-term fall in price.
trading.
Before the publication of the U.S. statistics trading was, as forecast, very sluggish. Quotes for Eurobond gained
slightly, due to a similar dynamic for U.S. Treasuries.
At 4:00 p.m., Moscow time quotes were up for dollar-denominated Russian Eurobonds. The growth leaders were the
longest bonds with maturity in 2028 and 2030, which gained 0.4%-0.6%. The increase in price for the other issues was
0.2%-0.3% on average. The exception was, as usual, the shortest issue maturing in 2005, which did not change
significantly.
There was also a positive dynamic in the OVVZ sector: the fifth, seventh and eighth tranches gained 0.3%-0.4% and the
sixth tranche gained about 0.1%. [RU EUROPE EEU EMRG ASIA FRX EUB GVD INSI] rd <>
[Interfax] |
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