Brazilian Bonds Gain

Brazil’s benchmark bond due in 2040 rose $1.10 to $114.20 after US Fed policy makers played down inflation fears and hinted they would continue raising interest rates at a measured pace. Yields on US 10-year Treasuries fell to a five-week low, helping lure investors to higher-yielding emerging market bonds. The extra yield investors demand to hold a Brazilian 10-year bond instead of a similar maturity Treasury has narrowed to 3.45 percentage points from 4.12 percentage points on March 28.