Ukraine PSI pushes bond prices up

Ukraine on Wednesday said its ministry of finance would “consult with the holders of Ukrainian international sovereign debt so as to improve Ukraine’s medium term sustainability”, which analysts have taken to mean that a restructuring or reprofiling of the bonds is on the way. However, the country’s bonds sold off only around three points, as investors had already priced in the likelihood of the move, rebounding later in the day to finish two points higher.