Venezuela Bonds Gain Amid US Show of Force in the Caribbean

Venezuelan bonds are rallying for a second day, reaching their highest levels in more than six years, as a US strike against alleged drug traffickers in the Caribbean adds to pressure on the administration of President Nicolas Maduro.

President Donald Trump said Tuesday that the US military killed 11 “terrorists” when it targeted a boat carrying drugs from Venezuela in international waters. Defense Secretary Pete Hegseth said Wednesday that the US won’t stop at “just this strike.”

The country’s defaulted debt edged up on Wednesday, with some maturities trading at the highest levels since February 2019, according to indicative pricing ...