Operational data for Brazilian securities clearinghouse Cetip SA Mercados Organizados in January showed mixed trends for registration volumes and a sharp drop in custody transactions, indicating that the strong performance seen at the end of last year may fail to extend into 2014, analysts at Goldman Sachs Group led by Carlos Macedo said on Wednesday. Cetip, which released January data late on Tuesday, saw registration volumes for fixed-income securities down 24.5 percent from the prior month. Custody volumes fell sequentially for the first time since June 2013.
“The typically weaker month of January unsurprisingly produced weaker volumes throughout, with only limited hints that 2013’s strong finish bled over to 2014 - though the drop in custody volumes raises some concern,” Macedo said in a report.
Trends at Cetip’s liens unit showed weak performance, according to Macedo. Car sales declined seasonally in a month-on-month basis, which, combined with a lower percentage of cars financed, led liens registered to decline 11 percent in the month.