HALISTER1: Credit Suisse Says Receive 1-Yr Russia IRS on Coming Rate Cuts

Credit Suisse Says Receive 1-Yr Russia IRS on Coming Rate Cuts

(Bloomberg) -- Credit Suisse recommends receiving 1-year interest rate swaps with target of 9.8%, stop-loss at 10.55%, strategist Nimrod Mevorach writes in note.
  • Near-term monetary policy risks have shifted to rate cut
    • Coming March 24 meeting looks like a close call
  • Recommends taking profit on call to pay 1-year USD/RUB xccy rate
  • Recommends cutting duration in OFZ bonds after the curve has bear-flattened since Bank of Russia’s Feb. 3 meeting
    • Recommends switching into May 2019 bonds from Sept. 2026 and Aug. 2023 bonds

Alert: HALISTER1
Source: BFW (Bloomberg First Word)

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Nimrod Mevorach (Credit Suisse Group AG)

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