Ukraine’s dollar bonds have brought in the losses of investors by more than 10%, as Trump’s prospects fulfill its promises and act at the end of a peace agreement becoming more likely.
One of the most popular techniques in the developing countries of developing countries – the stakes with Donald Trump’s return to the White House – failed. Ukraine’s dollar bonds brought investors more than 10% of losses in 2025 – this is the worst result of all markets. Bloomberg reported this on Monday, May 26.
The reason is that Trump’s hope will fulfill his promises and end a peace agreement.
This is a sharp upside compared to the beginning of the year, when fighting in Truce made Ukrainian debt papers in profitability – the prices of some bonds were almost double after the reorganization of August 2024, and the Eastern European markets increased.
Investors do not lose hope for an agreement, but reduce optimism. London Hedge Fund Frontier Road It prefers corporate bonds, which, in their opinion, are less sensitive to geopolitics. Bank of America He still recommends that public debt to Ukrainians in the portfolio, but warns the “risks of reduction” as the war continues. In Morgan Stanley It is expected that hate will last until the end of 2025.
“The market is back to levels observed before the Trump election,” said Viktor Sabo, the Director of Aberdeen investments. – “The promise to ensure the world the day after the inauguration faces the fact that Putin does not want peace.”
Trump had previously suggested to hold full -up negotiations between him, Russian leader Vladimir Putin and Vladimir Zelensky in Istanbul. Instead of personal participation, Putin sent a low -level delegation – as a result, only Zelensky came to Turkey.
On Sunday, the White House leader said he was considering the possibility of new sanctions against Russia after the second night of the massive joint attack in Ukraine.
East European markets take
Meanwhile, in Eastern Europe, on the whole, the reasons for turning to the Ukrainian market of bonds are associated with why exchanges from Warsaw to Budapest have recorded one of the world’s biggest growth.
Initially, the properties in Eastern Europe were supported by the expectations of the world that could bring stability and investment.
Later, the prospect that Trump will limit military assistance to Europe or generally leave the peace process made by Germany and other governments to act. The billions of Euro, which they promise to defend, push markets in the region, as investors expect economic benefits.
The main shares of shares with Warsaw, Prague and Budapest this year has already brought investors more than 30% of dollar income. Hungarian Forint, the Czech Crohn and the Polish Zloty became one of the most successful currencies of developing countries.
At the same time, the situation in the Ukrainian market shows how geopolitical risks create foci of tension. Romania and Poland elections hold investors in tension, and the lack of peace threatens the broader consequences.
Hungarian prime minister Viktor Orban, one of Trump’s major supporters in Europe, said Friday said that the world’s delay in Ukraine could cause economic difficulties until 2026.
On Friday, Russian officials rejected Trump’s proposal regarding the Vatican negotiations as unrealistic.
Ukraine’s dollar bonds for days in the past were one of the worst market ownership. Bonds without a coupon with payment in 2035, in which payments to which the Ukraine economy was exchanged above 50 cents per dollar – returned in February with about 70 cents.
“The main impact of the delays on peace negotiations has been clearly shown on the Sovereign bonds of Ukraine,” said Martin Berchchetche, who is in charge of the portfolio on Frontier Road. – “Investments in these bonds are based on some stopping or a decision of hate.”
Earlier, the media reported that Trump was convinced that Putin was “leading his nose.” For this, the UK and France have made significant diplomatic efforts.
Also today, the State Department said the United States is leaving Ukraine negotiations and the Russian Federation and will no longer play the role of an intermediary.
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Source: korrespondent
I’m Liza Grey, an experienced news writer and author at the Buna Times. I specialize in writing about economic issues, with a focus on uncovering stories that have a positive impact on society. With over seven years of experience in the news industry, I am highly knowledgeable about current events and the ways in which they affect our daily lives.