Liquidity hits UAH98bn

Обзор облигаций 01.06.2016 Banking sector liquidity continued its recovery yesterday, up UAH1.76bn to UAH98.00bn. Total CDs outstanding rose UAH2.24bn to UAH56.16bn while banks' correspondent accounts with the NBU slid UAH0.48bn to UAH41.84bn. Investment implications: Following its recovery after month-end tax payments without injections from the NBU via loans or FX market auctions, liquidity could decline slightly today as an Oschadbank loan repayment to the NBU is scheduled. The major impact of the decline could be seen tomorrow as a result of newly issued bond settlements.