Stock market awaits anxiously the results of Venezuelan election
Operations will fall amid US holiday next Monday
Firstly, the US bond market will not open next Monday. Thus, the volume of the operations will be low.
Stockbrokers explain that the European market opens on Sunday, between two and three in the morning, therefore allowing for the purchase or sale of Venezuelan bonds from the US. The only problem is that by that time, the Venezuelan National Electoral Council may have not announced the results of the Venezuelan presidential elections yet.
If President Chávez is reelected, it is very likely that Venezuelans holding bonds decide to sale some of them, yet foreign investors would not have to do so.
On the contrary, if Capriles pulls off victory with a close margin, political instability and Government imminent actions during the transition period may prevent investors from buying Venezuelan bonds.
Anyway, one thing stockbrokers are sure about is that upon a wide victory of Capriles, Venezuelan bonds will rise substantially.
José Vicente Rangel clearly said: "We are not conducting negotiations threatened with a gun in the head." He warned behind closed doors in the midst of the social upheaval occurred during the oil strike in 2002 and 2003. Dissenting Timoteo Zambrano answered back that no other option was available: "The thing is that otherwise, you do not negotiate."