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Puerto Rico bonds trade higher in wake of petition filing

May 3 (Reuters) - Benchmark Puerto Rico general obligation bonds traded higher on Wednesday in the wake of the U.S. territory’s filing for a form of bankruptcy protection.

Bonds due in 2035 with an 8 percent coupon traded at 67 cents on the dollar, up from a high of nearly 65 cents on Tuesday, according to Municipal Securities Rulemaking Board trading data.

Puerto Rico filed under Title III of the PROMESA law, which allows an in-court debt restructuring process akin to U.S. bankruptcy protection. The case was filed in U.S. District Court in Puerto Rico.

Reporting By Karen Pierog; Editing by Chizu Nomiyama

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