EAVEX Weekly

April 19, 2017

Kyiv-listed equities finished mixed last week ahead of the Easter holiday weekend. In major economic news, the NBU unexpectedly decided to cut its key refinancing interest rate from 14% to 13%, ignoring the latest data that consumer inflation accelerated to 15% YoY. In making the rate cut, he NBU restated its forecast that inflation will slow to 9.1% YoY by the year-end. The central bank’s policy decisions may see some changes in the short term, as current governor Valeria Gontareva announced her resignation last week after almost three years in the post. The UX index lost 3.2% to close at 1038 points, correcting after three weeks of strong growth. UkrNafta (UNAF) was the main culprit, slumping 17% to UAH 112 per share after the company unveiled an enormous 4Q16 net loss of UAH 161 per share caused by the sudden write-off of unpaid receivables related to suspicious oil sale transactions. On the upside, CentrEnergo (CEEN) climbed 0.4% to UAH 10.73, supported by news that Parliament ado