Venezuelan Bonds and State-Company PDVSA Bonds Fall After Controversial Election
Venezuelan bonds and those of the state oil company PDVSA are trading lower, dropping between 1.5 and 5 cents on the dollar this Monday, following the contentious presidential election results in which both President Nicolás Maduro and opposition candidate Edmundo González claimed victory.
U.S. markets, where these bonds are predominantly traded, had not yet opened formally, but Friday’s closing prices showed sovereign bonds, which have been in default for years, trading between 18 and 22 cents on the dollar, and most PDVSA debt trading between 12 and 17 cents on the dollar.
The Venezuelan electoral authority announced shortly after midnight that Maduro had secured a third term with 51% of the votes. However, the opposition and the United States questioned the results, expressing “serious concerns” about the outcome.
These developments were anticipated, given that Maduro’s re-election in 2018 was also deemed fraudulent by the United States and other countries. So far, the situation aligns with expectations.
The opposition claimed victory as well, and numerous foreign governments, including the U.S. and several Latin American countries, have refrained from recognizing the results while electoral officials aligned with the regime delayed the release of detailed vote counts.
ABOUT THE AUTHOR
See More
Sidebar rates
Add 3442
Related Posts
Save
Join 350 000+ traders receiving Free Trading Signals
Alerts
Rates
Calendar
Signals