Bonds: Primary auction results

Обзор облигаций 10.09.2014 Yesterday's primary auction received no bids for the sole offering of the 2-year bond maturing in August 2016. The bond had been sold at two previous auctions held in august and last week when the MoF decreased the interest rate by 80bp to 16.50%. Investment implications: After adjusting the yield lower, the MoF received no market or domestic QE supported bids at yesterday's auction. As today's debt repayments are relatively low and in local currency, they should be made without refinancing. We could see new offerings later this week, possibly of "military" bonds.