Fixed Income

July 09, 2018

Quotes for Ukrainian sovereign Eurobonds rebounded somewhat last week after 3 previous weeks of decline. The situation on the global bond market encouraged investors to look at EM bonds, as the US yield curve reached its flattest level in more than a decade amid the probability that the Federal Reserve will raise short-term interest rates twice more in 2018. The spread between 5-year and 30-year Treasury yields fell to just 22 basis points, the tightest since July 2007, while the gap between 2-year and 10-year yields touched 29 bps, the narrowest since August 2007, Reuters data showed.