Caracas: President Hugo Chavez and US Secretary of State Hillary Rodham Clinton shook hands and chatted briefly on Saturday in a rare cordial encounter amid a diplomatic dispute that has left Venezuela and the United States without ambassadors in each other's capitals.

The handshake came as leaders were at the inauguration of new Brazilian President Dilma Rousseff. It was unclear what Chavez and Clinton discussed.

Chavez later described the interaction as pleasant, though he did not give much detail.

"We greeted each other," he told reporters at the Brasilia airport. "She had a very spontaneous smile and I greeted her with the same effusiveness."

In the past week, their governments have stood firm as the United States revoked the Venezuelan ambassador's visa in response to Chavez's refusal to accept the chosen US envoy.

"They thought we were going to back down.

"Anything negative that happens will be the responsibility of the United States," veteran Venezuelan diplomat Roy Chaderton said Ton hursday.

Saying nothing

Chaderton, a close Chavez ally and former foreign minister, said the Venezuelan government was considering its next steps.

Chavez has said nothing about the US government's decision to revoke the visa of Ambassador Bernardo Alvarez.

President Barack Obama's administration took that step in response to Chavez's rejection of Larry Palmer, who has been awaiting Senate confirmation.

It was unclear what concrete effects those actions could have on relations. Clinton did not respond to questions.

Diplomats from the two countries have long had reduced contacts due to Chavez's condemnations of the US and State Department criticisms of deteriorating democracy in Venezuela.