Venezuela to resume dollar sales after US oil blockade disruption

Investing.com -- Venezuela is said to be preparing to resume dollar sales, which could help stabilize its struggling bolivar currency following disruptions caused by a US oil blockade.

Banks in Caracas have begun contacting corporate clients this week to offer the first significant supply of dollars from the government since mid-December, according to a Bloomberg report Friday. The banks are reportedly currently collecting bids, though no funds had been disbursed as of Thursday.

The exact amount being offered by the government remains unclear, as does the source of the funds. However, this development follows the Trump administration’s recent authorization for two major global commodities traders to sell Venezuelan oil.

The bolivar stabilized in parallel trading on Friday at below 500 per dollar, according to quotes from crypto trading platforms. The currency had seen significant volatility since US military forces began blocking oil exports, which cut off dollar supply and deprived the government of its main source of foreign earnings.

The situation had worsened after the US captured Nicolas Maduro, with the bolivar weakening more than 20% to approximately 800 per dollar at one point, raising concerns about a potential currency crisis.

You May Also Be Interested In

• Intel (INTC) PT Lowered to $92 at Mizuho
• Quanex (NX) Tops Q3 EPS by 14c; Offers Guidance
• Samsara Inc (IOT) Tops Q2 EPS by 4c, Beats on Revenue; Offers Q3 Guidance