The situation with banking liquidity changed little yesterday: banks are running a RUB 1.2-1.3tn balance of correspondent accounts, which is sufficient to meet the averaging regulation for mandatory reserves management and assumes RUB 200-300bn in free reserves. Meanwhile, banks keep RUB 220bn on deposits with CBR. In light of this, overnight rates are stable and remain close to the level of the CBR’s key: yesterday, the EURRUB overnight FX swap rate closed at 13.9%. Front end NDF rates tightened 70-100bp yesterday, with 1M NDF closing at 17.4%. Longer dated XCCY swap rates moved up 10-15bp, fuelling some curve steepening.