Wall Street Revives Russian Bond Trading After U.S. Go-Ahead

Several major Wall Street banks have begun offering to facilitate trades in Russian debt in recent days, according to bank documents seen by Reuters, giving investors another chance to dispose of assets widely seen in the West as toxic. Most U.S. and European banks had pulled back from the market in June after the Treasury Department banned U.S. investors from purchasing any Russian security as part of economic sanctions to punish Moscow for invading Ukraine, according to an investor who holds Russian securities and two banking sources. Following subsequent guidelines from the Treasury in July that allowed U.S. holders to wind down their positions, the largest Wall Street firms have cautiously returned to the market for Russian government and corporate bonds, according to emails, client notes and other communications from six banks as well as interviews with the sources. The banks that are in the market now include JPMorgan Chase & Co., Bank of America Corp., Citigroup Inc., Deutsche Bank AG, Barclays Plc and Jefferies Financial Group Inc., the documents show. Read more.