News Daily Spot: Rising prices of Venezuelan dollar bonds after the opposition victory 6D

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Rising prices of Venezuelan dollar bonds after the opposition victory 6D

Prices of Venezuelan dollar bonds up three cents on Monday, boosted by the victory of the opposition in parliamentary elections over the weekend raised expectations that reforms in the oil country, reported Reuters.

The opposition coalition Democratic Unity Roundtable (MUD) won 99 seats in the unicameral National Assembly of 167 seats in Sunday's election, according to the latest data released by the National Electoral Council (CNE). The ruling could far 46 seats.

Venezuelan bonds maturing in 2022, 2028 and 2038 earned between 1.3 cents and 3.3 cents, while prices of debt of state Petroleos de Venezuela (PDVSA) jumped up 2.4 cents.



Prices of PDVSA papers hit a one week to 27.35 cents on the dollar earlier in the day.

The average premium performance of Venezuelan debt bonds over US Treasuries fell 17 basis points 11EML market index EMBI global roles.

Analysts said it was likely that the Venezuelan debt extended its gains after starting the session in New York, especially if the opposition gets an absolute majority in the National Assembly, allowing it to easily implement reforms.

"It (the absolute majority) could be a turning point in terms of what they (the opposition) can make in parliament," said Stuart Culverhouse, chief of analysis at brokerage Exotix.

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