Central and Eastern Europe (CEE)

Russian Railways (RZD) is weighing up the first rouble Eurobond for several years as low global yields boost support for rouble denominated debt.

A surprise upgrade from Standard & Poor’s has prompted Hungary’s international debt to rally 30bp and take its credit default swap surging inside that of Italy, the most traded sovereign CDS reference entity.

Semperit, a rubber and plastic goods manufacturer, has come to the Schuldschein market with a uniquely diverse deal; as an Austrian firm issuing to a largely German market, in Polish and US currencies.

mBank priced a new four year euro denominated bond through its existing curve on Wednesday as investors shrugged off concerns over Polish bank risk.

Fertiliser producer EuroChem signed a $800m pre-export finance facility (PXF) refinancing last week, with the borrower shuffling its bank group as Chinese lenders play a growing role in Russian corporate loans.

Russia wasted no time reopening its 2026s after the US Federal Reserve left rates unchanged on Wednesday. Now Euroclearable, the tap is expected to achieve plenty of demand from investors who didn’t play the first time round, but some say a moral dilemma remains.

O1 Properties printed the first syndicated international deal from the Russian property sector on Tuesday. While lead bankers acknowledged it was not an easy deal, the issuer was able to increase it from the planned $300m to $350m.

Poland’s mBank saw strong demand for a new euro-denominated four year senior unsecured benchmark after initial price thoughts were released early Wednesday.

Russian issuers dominated the first half of the week in emerging market bonds but the attention is now on Polish financial mBank which has braved coming on the same day as the US Federal Reserve announces its interest rate decision.

The US Commodity Futures Trading Commission (CFTC) has penalised Russia’s VTB Bank and its London-based VTB Capital investment banking subsidiary over what the Commission called "fictitious" and "non-competitive" block trades of Russian ruble/US dollar futures contracts.

Russian Railways is to issue a Eurobond in roubles — the first time in over a year that an offshore rouble bond has been issued by a corporate borrower. The proceeds of the deal will be used to buy back outstanding dollar and Swiss franc bonds.

Debut issuer O1 Properties opened books on its five year dollar note on Tuesday with a yield of 8.5% area.