Jan. 10 (Bloomberg) -- Venezuelan bonds rose for the first time in five days as the day cancer-stricken President Hugo Chavez was due to be inaugurated was free of violence.
The yield on Venezuela’s 2027 bonds fell eight basis points, or 0.08 percentage point, to 9.20 percent at 2:22 p.m. in Caracas, according to data compiled by Bloomberg. The yield on the bonds increased 54 basis points over the prior four days.
Opposition leader Henrique Capriles urged supporters yesterday to avoid clashes with Chavez loyalists as the Supreme Court endorsed a delay in the inauguration, saying any such ceremony is a formality. The ruling means Chavez’s handpicked successor, Vice President Nicolas Maduro, will continue to conduct affairs.
“People were putting in question if there was going to be violence on the streets,” Kathryn Rooney Vera, a strategist at Bulltick Capital Markets in Miami, said in a telephone interview. “Jan. 10 came and went and nothing happened.”
Regional allies including Bolivian President Evo Morales, Nicaragua’s Daniel Ortega and Uruguay’s Jose Mujica were expected to attend a government-organized rally today in Caracas to express solidarity with the socialist leader, who is struggling to recover from surgery last month in Cuba.
Capriles also said yesterday that the country risked plunging into “anarchy” if Chavez wasn’t sworn in this week and urged regional leaders not to side with a political party and instead insist that the government respect Venezuela’s law.
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