(Adds value and number of Russian bonds in indexes)
LONDON/NEW YORK, April 15 (Reuters) - U.S. sanctions announced on Thursday on newly-issued Russian government debt could see the bonds excluded from JPMorgan’s influential indexes, including the emerging market local-currency GBI-EM investment index, the bank said.
“Economic sanctions which impact the replicability of the JPMorgan fixed income indices will result in an Index Watch (observation period) followed by potential rebalance actions such as exclusion of the sanctioned bonds/issuers from the benchmark,” JPMorgan said.
Russia’s share in JPMorgan’s GBI-EM index, the main global benchmark for emerging market local currency bonds, now sits at 7.1% compared with 8.9% a year ago and the maximum possible 10% in 2014 before Russia was hit with Western sanctions for annexing part of Ukraine.
By Reuters Staff
1 Min Read
FILE PHOTO: A man reads a newspaper as he walks in Buenos Aires financial district, Argentina, April 18, 2016. REUTERS/Marcos Brindicci/File Photo
BUENOS AIRES (Reuters) - Argentina’s Buenos Aires province said on Monday it would extend the deadline for its $7 billion foreign debt restructuring until April 23, amid rising tensions with creditors after a year of negotiations that have failed to reach an agreement.
Reporting by Adam Jourdan
(Updates with confirmation of sale; changes source to NTMA, adds quote)
DUBLIN, April 15 (Reuters) - Ireland raised 3.5 billion euros from the sale of a new 20-year bond on Thursday, the country’s debt agency said, in the latest long-dated issuance from a euro zone sovereign.
That is slightly higher than the 2 billion to 3 billion euro target a source indicated to Reuters on Wednesday, with the deal receiving final investor demand of more than 35 billion euros.
The funds were raised at a yield of 0.585%, the National Treasury Management Agency (NTMA) said in a statement.
Ireland has now raised 10.5 billion euros in 2021, more than half of which came via its first syndicated sale of the year, a 10-year deal investors piled into in January when the order book was in excess of 40 billion euros.
Updated
Hungary may sell more T-bills, but plans no increase in long govt bond sales, debt agency head says
3 Min Read
BUDAPEST, April 15 (Reuters) - Hungary plans to finance an increase in its 2021 budget deficit by using some debt financing buffers and possibly increasing treasury bills sales but it will not boost supply of long government bonds, the head of the debt agency told Reuters on Thursday.
The government said last month it would modify the 2021 budget to raise the deficit target to 7.5% of gross domestic product from 6.5%, because the third wave of the coronavirus pandemic has hit the economy hard. After contracting 5% in 2020, the economy may grow 4.3%, the government projections show. nL1N2LS298
(Refiles story to fix typo in a chart; no changes to text)
FILE PHOTO: The European Central Bank (ECB) logo in Frankfurt, Germany, January 23, 2020. REUTERS/Ralph Orlowski/File Photo
LONDON/MILAN (Reuters) - Euro zone politicians, courts and policy hawks will pose a stiff challenge this year to the ECB’s resolve to pin down the bloc’s borrowing costs, precisely at a time when higher U.S. Treasury yields are tempting investors away from European markets.
The European Central Bank has held sovereign debt yields low through bond purchases, and recently increased buying in its 1.85 trillion-euro ($2.22 trillion) emergency stimulus scheme, known as PEPP.