These bonds will convert into equity when financial distress becomes substantial or forces banks to issue equity to pay back the bonds to prevent the dilution.
Their government will allow for regular investors to put money overseas and when China becomes part of that particular carry-trade it will drive up the price of Brazilian bonds as investors chase yield but end up creating bubbles.
Until the scale of the Middle East conflict becomes clear, investors will continue to shun the risk of equities for the certainty of cash and government bonds.