Oct. 26 (Bloomberg) -- Colombia’s peso bonds rose, pushing yields to the lowest level in a week, after European leaders reached an agreement on plans to recapitalize banks.
The yield on the country’s benchmark 10 percent bonds due in July 2024 fell three basis points, or 0.03 percentage point, to 7.46 percent. That’s its lowest level since Oct. 18. The price rose 0.298 centavo to 120.366 centavos per peso.
“Colombian markets are closely following what is happening in Europe,” said Daniel Lozano, an analyst at Serfinco SA brokerage in Bogota.
European leaders meeting in Brussels said in a statement that they reached an agreement on a plan to recapitalize the region’s banks. French President Nicolas Sarkozy and German Chancellor Angela Merkel want to meet Greek creditors in Brussels tonight to break a deadlock of the terms of a debt writedown, said a person familiar with the matter.
The peso declined 0.1 percent to 1,879.10 per U.S. dollar, from 1,878.05 yesterday. The currency has dropped 4.7 percent in the past six months.
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