DISTRESS WATCH: Gazprom Rally Curtails Rise in Troubled Debt

A month-long rise in the global distressed-debt market came to a halt last week as bonds from Russian energy giant Gazprom rebounded. A selloff in credit markets on Monday, however, threatened to make the reprieve short-lived.

State-controlled Gazprom saw $3.25 billion of its bonds emerge from distressed trading levels as brokers continued to speculate on a normalization of relations between the US and Russia. Since the return of President Donald Trump to the White House, such expectations have lifted more than $10 billion of Russian corporate debt from distressed prices, data compiled by Bloomberg News show.

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