The dispute between Donald Trump and Volodymyr Zelensky led to a sharp collapse in Ukrainian Eurobonds. As IZ reports with reference to Reuters, Eurobonds maturing in 2035 fell in price by 3.6 cents to 61.7 cents on the dollar, and GDP warrants fell by more than 2 cents. This situation was a consequence of tense relations between Ukraine and the United States.
The sharp drop in Eurobonds occurred immediately after the dispute in the White House. This is not the first time that the rhetoric of the American administration has affected Ukrainian securities. Investors in international markets negatively perceived the news, which caused an immediate decrease in the value of bonds. The dynamics of securities resemble a roller coaster due to sharp fluctuations.
The previous collapse of Eurobonds was also associated with Trump's statements regarding Ukraine. Then the US president called Zelensky a dictator and began to approach Russia. Investors fear instability in the region and a possible withdrawal of US support for Ukraine. This negatively affects confidence in Ukrainian assets on international markets.
Recall that we previously wrote about the final results of the summit in support of Ukraine in London.