LATAM WRAP-Bargain hunters provide support to shaky market
By Paul Kilby
NEW YORK, Nov 10 (IFR) - Higher oil prices and bargain hunters were providing some support to LatAm debt markets on Tuesday as investors squared positions ahead of the US Veterans Day holiday on Wednesday.
"We have been weak since Friday's payroll number, but things are stabilizing," said a New York based trader.
Commodity producers were recovering a touch as bonds issued by Brazilian miner Samarco came off recent lows.
Samarco's bonds were being spotted at 62.375 after falling to around 55 cents on the dollar on Monday.
Mining giant Vale, which jointly owns Samarco with BHP Billiton, saw its bonds tighten 3-5bp earlier today, with the 2022s being quoted at 393bp-383bp.
Elsewhere in Brazil, bond prices were still under pressure though some accounts were showing interest at current levels.
"We are seeing mixed flows," said Klaus Spielkamp, head of fixed-income sales at Bulltick. "Prices are lower but we have seen some buyers."
Reports that former central bank head Henrique Meirelles might step in to replace Joaquim Levy have somewhat mitigated concerns about the departure of the orthodox finance minister. Continuación...