Marco Rubio stated that there are “positive signs” regarding an agreement between the U.S. and Iran, lifting the market on a day that had been trading mostly in the red; the Treasury yield curve ended with a bull flattener, in which long-term bonds rose more than short-term ones, pushing yields down by 4 basis points. Earlier, there was no significant movement in rates in Europe. In equities, the Dow and “value” stocks advanced more than the Nasdaq, following mixed performance in both Asia and Europe. On the commodities front, crude oil fell 1% (WTI $98, Brent $104), while metals and agricultural commodities also declined across most sectors. The dollar was flat at 99 on the DXY, and the VIX fell to 16.7.

Venezuelan bonds remain under pressure, with the sovereign yield curve feeling the strain slightly more than PDVSA’s, falling by 0.5 percentage points and 0.25 percentage points, respectively, as trading activity picks up in the long end of the sovereign curve and, once again, in the mid-term segment of PDVSA’s curve, as is customary.

Latin American credit spreads ended the day with changes of 0.35 points, with Argentina and Brazil standing out on the upside, while Pemex and Ecuador did so on the downside