Prices for Russian eurobonds corrected downward on Aug. 5 after geopolitical tensions escalated on news the Russian air and air defense forces in the Western and Central districts would carry out military exercises. The United States Treasuries were virtually unchanged, leading to a wider spread between the two benchmark issues.
Russia-30 bonds at 5:10 pm Moscow time were down 91 basis points at
112.01 percent of face value, yielding 4.88 percent per annum (4.70 percent on August 4).
Benchmark ten-year UST were down 13 b.p. at 100.02 percent of face value by
that time, yielding 2.49 percent p.a. (2.48 percent on August 4).
Yield spread between the two issues widened 17 b.p. to 239 b.p.
