OFZ yields grow in January despite reduction in placement volumes
Movements in yields were influenced by market expectations regarding further borrowings by Russia’s Ministry of Finance to fund the budget deficit, according to the new issue of the Financial Market Risks Review. January saw predominantly positive dynamics in the Russian stock market. Sectoral indices were up, excluding the oil and gas index.
The ruble weakened slightly in January, with the market demonstrating a general reduction in volatility. Foreign currency supply from major exporters decreased, but the resumption of fiscal rule-based operations added to market stabilisation. In 2022, the share of foreign currency in household savings decreased by 1.6 percentage points. Net of transfers to non-resident banks and non-resident brokers, this decrease totalled 8.4 percentage points.