The rally witnessed in Eurobond prices recently lost some of its momentum during the concerned week, with prices retreating by approximately 100 basis points to close between 18.25 and 18.75 cents to the dollar on Friday. The drop in prices was driven largely by some profit-taking accompanied by a notable decline in trading volumes and overall market liquidity.

This stabilization and modest retracement signal a cautious risk sentiment prevailing among investors driven by persistent local political and economic challenges. The lack of material progress on domestic reforms continue to weigh on investor confidence.