Daily Market Monitor: A downward correction in benchmark US Treasury bonds has become likely after the recent month’s gains

Another inactive day on the ruble bond market;
investors simply carry their positions opened in August.
The most active trading was in Moscow City bonds in the
wake of recent placements. We see no events that could
shake the market in the short term; mid-term, all eyes
are on monetary policy.
The Eurobond market was inactive yesterday because of
Labor Day in the US. Today is the first day the market
could entirely price in the Beslan tragedy. We believe that
currently there is little to no spread contraction potential
in Russian Eurobonds. A downward correction in
benchmark US Treasury bonds has become likely after
the recent month’s gains.