CEMEA Rates Snapshot: SAGBs Lead the Way, Turkish Locals Languish

EM rates trade firmer across the CEMEA space with SA leading the way on the back of issuance curbs, while Turkish local bonds turn offered in the lead up to this week's CBRT.

• SA: Local curve remains bull flatter on the day, but has eased off session highs at the back end while the front end reversed from early gains to +4.8bp. 10Y trades -11.4bp, eying the 9.00 handle, while 30Y yields hold -11.4bp below 10.90 resistance.
• TURKEY: Local & USD rates diverge in the lead up to this week's CBRT. Locals bear flattening at the front end +8-12bp, while the 5-10Y section remains +2-4bp higher. USD bonds better bid across the curve, bull steepening -9.5bp in the 2Y tenor.
• RUSSIA: Local bonds trade firmer across the curve with gains concentrated in the belly: 5-7Y tenors -6bp, while the rest of the curve holds -3-5bp lower across the breadth. W/w both curves have bull steepened.