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Somewhat technical debt talk
Looking unhealthy...with a badly swollen face and jaundiced skin tone...President Hugo Chavez has scampered back to La Habana for a leak-controlled cancer checkup...as the sale of $3bn more in debt was announced.
The total debt issued for the year so far...is a staggering $15.2bn.
Fitch rated the new debt low B-plus.
It's a bad deal for the government...with real yields in the 16% to 18% range.
"Markets understand the (Venezuelan) system is so unstable but the bonds pay well. Everything has a price and if the price is right, people will buy it, even if it is a horrible product," said Alberto Bernal in Miami.
"There is a slight, but growing, concern over the way some of the financing has been structured. China is getting repaid in oil at the wellhead, which effectively makes them senior in the debt structure to investors who hold the sovereign bonds," said AJ Mediratta in New York.
