The overnight FX swap moved to the other extreme, closing yesterday at 12.29% (+186bp). However, the CBR’s FX swap facility remained untapped, as the regulator had already left the market by the time the FX swap spiked. The weighted average FX swap rate increased to 10.48% (+51bp), which we believe helped the FX swap-RUONIA basis to pick up from the recent lows of -115bp. Given the material FX swap tightening, the subsiding demand for fixed-rate repo looked a bit puzzling yesterday: banks borrowed only RUB 140bn from the regulator vs. RUB 581bn the day before. The volume of correspondent accounts remained nearly unchanged, at RUB 1.3tn. The CBR statistics showed that MET and VAT payments absorbed RUB 607bn of liquidity to the budget. Today, companies are to pay corporate profit tax, so the bid for overnight liquidity might strengthen. The NDF curve widened 7-13bp, with the 3M NDF rate rising to 10.75% (+11bp). The XCCY curve tightened a marginal 2-4bp. 3M MosPrime inched up to 11.97%, but the IRS curve traded tighter, with the two-year rate declining to 11.73% (-6bp).