Petrobras Bonds Rally in First Day of Trading After Record Sale
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Petroleo Brasileiro SA’s dollar bonds due 2015 and 2017 are rallying a day after the Brazilian state-controlled oil producer sold the securities as part of a record $7 billion overseas offering.
Petrobras’s $1.25 billion of 2.875 percent notes due February 2015 yielded 206 basis points more than U.S. Treasuries at 12:15 p.m. New York time, down from a gap of 275 at yesterday’s sale, according to Trace, the bond price reporting system of the Financial Industry Regulatory Authority. The overall yield fell to 2.33 percent from an issue yield of 3.05 percent, according to data compiled by Bloomberg.