EMERGING MARKETS-Rouble hits 5-month high on Ukraine, Turkish stocks rise

martes 24 de junio de 2014 05:55 GYT
 

By Carolyn Cohn
    LONDON, June 24 (Reuters) - Russian stocks and the rouble
hit five-month highs on Tuesday after pro-Russian separatist
leaders in Ukraine's east agreed to a ceasefire, while Turkish
stocks hit a 12-day high ahead of an expected rate cut.
    Separatist leaders in two areas have agreed to observe a
ceasefire with Ukrainian forces until June 27, one of them said
on Monday. 
    The conflict in Ukraine has undermined Russian assets in
recent weeks.
    "It's a significant relief," said Ulrich Leuchtmann, head of
global FX research at Commerzbank in Frankfurt, of the
ceasefire.
    But Ukrainian government forces accused the separatists of
firing on several Ukrainian military checkpoints on Monday
night. 
    The MSCI emerging equities index rose 0.5 percent.
Russian stocks rose more than 1 percent and the rouble
 rallied 0.3 percent.
    Ukraine's five-year credit default swaps fell 46 basis
points to 792 bps, according to Markit.
    Turkish stocks hit 12-day highs and the lira 
a five-day high, supported by expectations of continued loose
euro zone monetary policy ahead of an expected domestic rate
cut.
    Turkey's central bank is expected to cut its one-week repo
rate by 50 basis points at 1100 GMT.
    Investors see easy monetary conditions in the euro zone
boosting higher-yielding emerging markets after recent weak
data, including figures on Tuesday showing German Ifo business
morale was hit this month by conflict in Ukraine and Iraq.
 
    "We are in a low volatility risk-seeking environment," said
Leuchtmann.
    Bulgaria's CDS rose 7 bps to their highest since Nov 2013 at
123 bps after Russian bank VTB said it had no plan to provide
liquidity or capital to Bulgaria's Corporate Commercial Bank
(Corpbank), which was taken over by the Bulgarian central bank
on Friday after a run on deposits. 
    Bulgarian officials meet investors in London on Tuesday for
an international bond roadshow.
    The zloty edged up after the head of Poland's
central bank said he would not resign over a scandal over leaked
recordings. 
    The shekel hit its highest in nearly three years
after Israel's central bank left rates unchanged on Monday.
 
    The rand hit month highs, adding to gains in the
previous session after the country's longest strike ended. 
    The Ugandan shilling hit its lowest levels since May
2013 as the central bank said it was in the market to support
it. 
    Traders said the shilling was being undermined by last
week's U.S. sanctions against Uganda over widely condemned
anti-gay laws, and by expectations of further monetary policy
easing this month. 
    Dubai's benchmark stock index fell 6.2 percent,
heading for its biggest daily loss since last August, with
construction firm Arabtec hitting its daily 10 percent limit
down for the third day in a row.
    
    For GRAPHIC on emerging market FX performance 2014, see link.reuters.com/jus35t
    For GRAPHIC on MSCI emerging index performance 2014, see link.reuters.com/weh36s
    For GRAPHIC on MSCI emerging Europe performance 2014, see link.reuters.com/jun28s
    For GRAPHIC on MSCI frontier index performance 2014, see link.reuters.com/zyh97s
    For CENTRAL EUROPE market report, see 
    For TURKISH market report, see 
    For RUSSIAN market report, see )

 (Editing by John Stonestreet)