Ukrainian eurobonds, Stocks rise on news of Trump’s victory in U.S. elections

On November 6, Ukrainian eurobonds, which had been inching up in price in the lead-up to the U.S. presidential election on November 5, saw an additional 2-4% increase following the news of Donald Trump's victory. Investors hope this outcome could potentially improve the chances of ending the war.

According to data from the Frankfurt Stock Exchange, the price of Ukrainian eurobonds maturing in 2029 rose by 2% to 60.25% of their face value, while longer-term bonds maturing in 2034-2036 saw an increase of 3.3-4.2%, reaching roughly 46-47% of their nominal value.

Additionally, GDP-pegged warrants jumped 3.8%, reaching 71.94% of their conditional face value, a level last seen before the full-scale war.

Ukrainian corporate eurobonds also saw modest gains: DTEK Energy and DTEK Renewables rose by 0.5-1%, Kernel by 1.4%, Ukrenergo by 0.7%, while Metinvest's bonds either held steady or saw a slight decline.

With limited activity in Ukraine's domestic market, Ukrainian stocks traded abroad also saw gains. Shares of mining company Ferrexpo on the London Stock Exchange jumped by 27.33%, while agroholding MHP’s stock rose by 0.74%.

On the Warsaw Stock Exchange, the largest gains were seen in shares of IMC and KSG Agro, each up over 7%, with Astarta and Kernel shares increasing by 1-2%. Consequently, the WIG-Ukraine index climbed by 3.4%, while the KPDCI_USD index rose by 8.7%.