Fixed Income

December 03, 2018

Both Ukrainian sovereign and corporate Eurobonds got hammered last week, becoming victims of the negative buzz after Russian border guards fired on three Ukrainian military boats and seized their crews near the Crimean peninsula on Nov 25. President Poroshenko asked NATO to send ships to the area and implemented martial law for 30 days in response to the crisis. Although the incident did not lead to any escalation of the situation in the Donbass conflict zone, where Russian-backed separatist occupy part of Donetsk and Lugansk provinces, concerns about the Kremlin’s belligerence once again worried international investors.