Venezuela’s bolivar plunged to a record low in unregulated trading after last week’s devaluation of the official rate failed to increase the supply of dollars.
Argentine defaulted bond traders are sticking to bets that they’ll be paid even after a U.S. court delayed an order forcing the South American country to make a $1.33 billion payment.
Petroleos de Venezuela SA will sell $1.5 billion of bonds to the central bank to repay a loan and will likely sell additional securities in the second half of the year, a government official said.
Citigroup Inc. is set to overtake Deutsche Bank AG and Credit Suisse Group AG as the top underwriter of Venezuelan debt this year after managing state oil company Petroleos de Venezuela SA’s $3 billion bond sale.
Venezuela’s currency controls are turning trips abroad into profitable junkets.
Siderurgica del Turbio SA, the Venezuelan steelmaker taken over by the government in 2010, was found to be in default, creating a fresh opportunity for bondholders to demand immediate repayment.
"Venezuela will just want to subtract the $908 million from the $1.4 billion Cerro Negro portion, pay it and get out of there, and Exxon is unlikely to be satisfied with that math."
- Russell Dallen on Oct 09, 2014