Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers Review > Headlines for 2018 > News item |
Morning Commentary: Brazil’s bonds up on Bolsonaro victory in run-off; Middle East quiet
By Rebecca Melvin
New York, Oct. 9 – Brazil’s bonds were stronger early Tuesday as market players welcomed the result of the country’s first round of the presidential elections and victory of right-wing candidate Jair Bolsonaro on Sunday.
Petroleo Brasileiro SA’s 8¾% bonds due 2026 were trading actively and were last at 111.5, which was up from 109 to 109.5 on Friday. Bond markets were closed in New York on Monday in observance of the Columbus Day holiday.
Petrobras’ 6.85% bonds due 2115 were higher at 89.5 bid, 90 offered, compared to Friday’s trades around 87, but were off slightly from the 90.5 trade and a couple of other prints that registered on Trace data on Monday.
Bolsonaro took 46% of the vote, compared to 29% for the second-place finisher, left-wing people’s workers party candidate Fernando Haddad. An Oct. 28 runoff between the two candidates is scheduled.
The Bolsonaro effect influenced other races, giving his conservative PSL party control of the lower house of Congress, with 52 seats. The PSL party will now be the second-biggest political party in Brazil’s next government.
Emerging markets bonds elsewhere were little changed. A London-based trader said markets in the Middle East and Africa region were unaffected by a dispute between Turkey and Saudi Arabia over the disappearance of a Saudi journalist in the Saudi consulate in Istanbul. Turkey’s decision to search the consulate on Tuesday was not affecting the bond market, the trader said.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.