08 June 2004 06:52
OFZ quotes slide Tuesday
MOSCOW. June 8 (Interfax) - Government ruble bonds slid again on Tuesday, taking yield for two of the longer-term OFZ
to over 8%.
Weighted average yields were at 8.02% for OFZ 46002 (maturing in 2012) and 8.1% for OFZ 46014 (maturing in 2018).
Quotes slid due to increased sales aimed at raising additional ruble funds, dealers said.
"The situation on the interbank loan market remained rather tense on Tuesday so it was difficult to raise
additional rubles with the help of interbank loans. Some OFZ holders decided to sell the more liquid issues," one
dealer told Interfax.
the morning and afternoon direct repo auctions topped 7.6 billion
rubles. There was also a seven-day direct repo auction with volume
Analysts say trading was light because it was mostly mid-scale bank dealers that sold bonds to replenish ruble
liquidity and such banks do not normally hold a large volume of bonds in their portfolios due to the usually low OFZ
yields.
The large investors do not need to sell bonds to raise extra funds because they can participate in the Central
Bank's direct repo auctions, which are aimed at refinancing the banking sector.
Quotes for the other OFZ bonds fell 15 to 20 basis points.
Weighted average yield for OFZ-AD and OFZ-FD bonds went up 0.86% to
OFZ trading volume totaled 286.515 million rubles. Transactions in
totaling 34.15 million rubles.
OFZ-AD 45002 bonds (maturing in 2006) and OFZ-AD 46003 (maturing in 2010) saw the highest volumes of 79.047 million
rubles and 71.888 million rubles, respectively. Average prices fell 99 basis points to 104.01% for 45002 bonds, the
biggest drop of the day. OFZ 46014 bonds also saw a considerable drop of 77 basis points to 104.99%.
7.05%.
There were 11 deals with Gko 21172 bonds totaling 17.368 million rubles. These were the only bonds to climb Tuesday
with prices edging up 3 basis points to 99.08% of face value.
Analysts predict quiet trading on Wednesday as most investors are likely to stay on the sidelines until the situation
with the interbank loan market is clarified. [RU ASIA EUROPE EEU EMRG GVD INSI] me
[Interfax] |
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