DCM Preps Supply Following Fed Message

DCM Preps Supply Following Fed Message

Bonds

The US Federal Reserve surprised the markets Wednesday with an unexpected announcement that it would not change its $80bn-plus in monthly asset purchases, setting up a more peaceful backdrop for LatAm bond issuers. "Off the charts surprising," says a LatAm trader noting a huge market rally. The market had estimated a tapering range of $5bn-$20bn in fed UST purchase cuts over the next weeks, and the unexpected news led to the 10-year UST to retreat to 2.69% from 2.86% Wednesday. "This is positive

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