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Colombia’s ‘Tiger Trade’ Fades as Fiscal Risks Loom

Colombia’s ‘Tiger Trade’ Fades as Fiscal Risks Loom
Key Points

Americas Colombia’s ‘Tiger Trade’ Fades as Fiscal Risks Loom The rally that accompanied Abelardo de la Espriella’s rise to power in Colombia is already fading, with investors waiting on cabinet announcements and a concrete plan to repair the nation’s strained public finances before adding to what had been some of the best trades in emerging markets. The extra yield investors demand to hold Colombia’s government debt over its US counterpart has widened every day this week, according to the...

Americas Colombia’s ‘Tiger Trade’ Fades as Fiscal Risks Loom The rally that accompanied Abelardo de la Espriella’s rise to power in Colombia is already fading, with investors waiting on cabinet announcements and a concrete plan to repair the nation’s strained public finances before adding to what had been some of the best trades in emerging markets. The extra yield investors demand to hold Colombia’s government debt over its US counterpart has widened every day this week, according to the latest data available, after tumbling the month before the Sunday vote. Dollar bonds too gave back gains, halting some of the best recent performances in the developing world.
Colombia (LOCATION) Fiscal Risks Loom Americas Colombia’s (ORG) Abelardo de la Espriella’s (PERSON) US (LOCATION)
Originally published by Bloomberg Markets Read original →