The market has become desensitized to the ups and downs of the conflict in Iran, largely shrugging off what was effectively a breakdown of the agreement reached last week—which led the U.S. to seize an Iranian vessel attempting to pass through the Strait of Hormuz—with the biggest impact, of course, felt in crude oil, which rose 6% to $89 for WTI and $95, but otherwise having little major impact. U.S. equities closed between flat and down 0.3%, Asian markets rose, and European markets fell by 1% on average. Rates rose 3-5 bps in Europe and remained essentially unchanged in the U.S.; meanwhile, in other commodities, we saw mixed performance in metals and gains of 0.75% on average in agriculture. The dollar was stable at DXY 98, and the VIX rose to 19.

In the Venezuela and PDVSA curves, we saw profit-taking from start to finish, with both curves giving back an average of 1 point, and PDVSA trading volumes at about half of last week’s average.

Latin American stocks close mixed, down 0.3 points, on light trading