After an extremely heavy start, the porteño bag managed to reduce the losses and fell only 0.7%, upset by the half sanction in Deputies to the new pension adjustment formula. However, via In this way, the index now stands at $1,204. In the external market, the shares of Argentine companies that are traded abroad ended with ups and downs, in a positive business climate round in the Wall Street market.
In the fixed income segment, sovereign bonds in dollars under New York legislation closed with a majority of results in the red along the curve of up to 1.6%, led by Global 46, while titles in pesos with adjustment CER marked increases of up to 0.3%, led by TX26. In this context, the country risk advanced to 1,528 points and was at a maximum value since March.
At the local level, in the Chamber of Deputies, opposition blocs approved yesterday, with 162 votes in favor and 72 against, a new pension adjustment formula which, if approved by the Senate, would replace the current one (imposed by decree by the Executive a few months ago). The project involves a direct compensation of 8.1% that would cover the difference between what was granted by the government and January inflation At the same time, it would also adjust for salaries (the government formula adjusts only for the CPI).
“Beyond that, there is also the possibility that the veto will be overturned if Congress pushes the project again and approves it with two-thirds of those present. This does not seem complicated, considering that it was already approved by 160 deputies out of the 240 present (two-thirds exactly, although there were 16 absences). consider the consequences that such action would have in the negotiations for the Bases Law and the fiscal project. Probably, he will not be well received by the “dialogue” blocs with whom he must count to pass the laws in the Senate. It is clear that, in this scenario, the government finds itself between a rock and a hard place,” they explained from Portfolio Personal Inversiones.
What is happening in the world’s markets
The main Wall Street indices They closed with a positive trend, driven by tentative optimism about interest rate cuts amid signs of slowing labor demand and a cooling of the economy. Stocks began June on a bumpy road, as the market wavers over whether to interpret a weakening economic readings as a positive sign of the prospects for rate cuts by the Federal Reserve or a negative signal signaling the start of a broader slowdown.
Stocks started June on a bumpy roadas the market hesitates over whether to interpret a weakening in economic readings as a positive sign of the possibilities of rate cuts by the Federal Reserve or a negative signal signaling the beginning of a broader slowdown.
The main Wall Street indices operate with a mixed to positive trend
Data released today showed that Job openings fell to a three-year low in April. Cracks in the labor market could prompt the Federal Reserve to start reducing borrowing costs, but they are also a sign that the economy could be headed toward a recession rather than a soft landing.
The published ADP private payrolls report provided the latest evidence of a cooling labor market, as private sector growth in May was below estimates. However, most attention is firmly focused on the week’s top jobs data, the key monthly jobs report due out on Friday.
On the other hand, economic activity in the services sector expanded again in May, after contracting for the first time in almost two years during the month of April. The Institute for Supply Management’s services PMI posted a reading of 53.8 in May, up from 49.4 in April and higher than the 51 analysts expected. Any reading above 50 reflects that the sector is in expansion territory.
Wall Street
Wall Street’s main indices closed with positive results. Thus, the S&P 500 gained 1.18%; the industrial Dow Jones advanced 0.25%; and the technological Nasdaq rose 1.96%.
Merval
The Merval marked a drop of 0.7%. In this context, the increases in the leading stocks were recorded by Cresud (-2.5%); Macro Bank (-2.2%); and Transener (-1.9%).
ADRs
The papers of Argentine firms listed on Wall Street closed with ups and downs. In this way, the increases were for Despegar (4.3%); YPF (2.6%); and Corporación América (2.4%); while the losses were for Cresud (-2%); Macro Bank (-1.7%); and Mercado Libre (-1.7%).
Bonuses
In the fixed income segment, sovereign bonds in dollars under New York legislation closed with a majority of results in the red along the curve of up to 1.6%, led by Global 46, while titles in pesos with adjustment CER marked increases of up to 0.3%, led by TX26.
Risk country
The country risk is located around 1,528 basis points.
