Yesterday, the Ministry of Finance allocated RUB 15.0bn of RFLB 17 FRN amid RUB 39.7bn of demand and at an average price of 102.1pp. At the moment, that issue is basically the most liquid one on the front end of the OFZ curve, so given the looming maturities in 3Q15, it is not surprising that it is enjoying a decent bid. In addition, its current yield at 15.5% offers a positive carry above the CBR’s key rate. The secondary market performed nicely as well; in particular, RFLB 18 (YTM 10.94%) gained 0.6pp, while bonds on the belly firmed 0.4-0.5pp. In the end, the curve tightened 5-7bp along all tenors.