NTN-B – Sep 19th, 2014 - English Version

Hi there,

So I’m following daily the most, in my opinion, volatile Brazilian goverment bonds: NTNB expiring at May 15th, 2035 and August 15th, 2050. For instance, this week these bonds interest rates closed at, respectively, at 5.81% and 5.84% (see at Tesouro Direto link)- from 5.88% and 5.91% at August 12th (showed at Anbima – link). Well, elections survey showing Roussef president increasing at voting intention and Fed meeting bring us some volatility. Their prices climbed from BRL 2.545,280067 in August 12th to BRL 2.572,69 today (NTN-B 2035), and from BRL 2.507,181796 to BRL 2.540,27 (NTN-B 2050) – according sources mentioned previous. Next week we expect four presidential surveys: on Monday (Vox Populi Institute), Tuesday (Ibope and MDA Institute) and Wednesday (Vox Populi again). Brazilian treasuries drop with Roussef voting intentions. Brazilian official unemployment rate is expect on Thursday and on Friday we have US GDP. I expect that Brazilian unemployment rate survey will show an job market deterioration because business confidence and economy environment are decreasing strongly since June. But in the end of next week I guess a good number about American economy. For this reason the result can be: climb movement at interest bond rates – good time for buy them. Every day I share my comments about this bonds here in my blog. See you soon.