Market comment

Ukrainian equities finished a losing week with little movement on Friday, Jan. 30. The WIG Ukraine Index of Warsaw-traded stocks increased 0.1%, finishing the week at a 2.9% loss. Its biggest component, grain trader and sunflower oil maker Kernel (KER PW), decreased 0.2%, concluding the week at a 3.8% decline. Among the Index’s few positive stocks was farmer Industrial Milk (IMC PW), which rose 4.0% on Friday, finishing the week at a 7.8% advance. In London, the most actively traded Ukrainian stock, iron ore miner Ferrexpo (FXPO LN), fell 2.4%, concluding the week at a 14.9% drop. Natural gas trader Regal Petroleum (RPT LN) jumped 29.5%, finishing the week at a 4.2% rise. Egg producer Avangardco (AVGR LI) gained 4.1%, concluding the week at a 0.5% slide. The Ukrainian Exchange (UX) Index of Kyiv-traded stocks increased 0.3%, finishing the week at a 2.7% decline. Coke producer Avdiyivka Coke (AVDK UK) increased 1.2%, concluding the week at a 13.0% plunge.



On the fixed income market, there were no movements of the Ukrainian sovereign curve on Friday, while much activity was observed in longer corporate Eurobonds. The day’s top decliners were the 2018 notes of Ukraine’s largest financial institution Privatabank (PRBANK 02/18), which fell 13.1% in the day, as well as the 2017 and 2018 bonds of steel giant Metinvest (METINV), which lost 9.1% and 4.2% of their of their price, respectively. Also in red was the notes of Avangardco (AVINPU 10/15), which lost 4.8% of their price. The day’s top performers were the shorter Eurobond of State Savings Bank (OSCHAD 3/16, +3.1%) and longer bond of State Export-Import Bank (EXIMUK 01/18, +2.1%).



Ukraine’s central bank set its latest record-low exchange rate for the hryvnia at UAH 16.16/USD on Friday, meaning it officially lost 2.3% last week. On the free market, the hryvnia saw few changes during the week to settle at UAH 20.9-21.2/USD, thus remaining 20%+ weaker to the U.S. dollar as compared to the official rate.

Источник: Конкорд Капитал