The Argentine financial market operated with disparate trends this Tuesday, in a week marked by local holidays that limit activity to only two business days, without taking into account the inactivity of the American market on Wednesday for Emancipation Day that limits local operations.
While sovereign bonds operated stable, Argentine stocks ended mixed on Wall Street, although the S&P Merval index ended negative due to the drag of Monday’s widespread declines abroad. Also, the free dollar hit a record at $1,305 and the Central Bank’s reserves rose due to a disbursement from the International Monetary Fund (IMF), to be close to USD 30,000 million for the first time in two months.
He free dollar earned 25 pesos or 1.9% this Tuesday, $1,305 for sale, a new nominal maximum. As far as June rises 80 pesos or 6.5%a rate that is expected to exceed inflation for the period, a trend that had already been observed in May, with a 17.8% rise in the informal currency against 4.2% in the INDEC Consumer Price Index.
With a wholesale dollar at 906 pesos, the exchange gap with the wholesale dollar -at $905- it now reaches the 44.2%in the highest range since February 1 (44.5%).
In a business round with significant volume in the cash segment, which reached USD 529.3 million, the Central Bank won purchases for 82 million dollars. During June, the BCRA’s purchasing balance reached approximately 181 million dollars.
“The wholesale dollar wheel has not recorded a negotiated volume of more than USD 500 million since last April 22. Tomorrow’s holiday in the US, and next Thursday and Friday in the local market, impacted the volume traded today in the cash segment, anticipating some operations in a very reduced week of activity,” he stated. Gustavo QuintanaPR agent Corredores de Cambio.
On the other hand, the Bookings Gross international gross domestic product grew by USD 790 million with the accreditation of a new IMF disbursementto USD 29,956 millionthe highest amount since April 26.
The Argentine markets remained closed on Monday for the commemoration of the “Passage to the Immortality of General Martín Miguel de Güemes”, while on Thursday the “Flag Day” will be celebrated and on Friday a “bridge” holiday was arranged for tourist purposes. .
The stock index S&P Merval of the Buenos Aires Stock Exchange fell 1.6%, to 1,557,429 points, after rising 4.2% last week. Among the shares and ADRs of Argentine companies traded in dollars on Wall Street, the increases in Despegar (+4.6%) and Central Puerto (+4%).
Sovereign bonds in the Electronic Open Market (MAE) were quoted with an improvement of 0.7% in their average in pesos, after accumulating an advance of 7 percent last week. He risk country of JP Morgan gave up an entire amount for Argentina, in the 1,385 points basics at 5:30 p.m.
“In recent months we see that sovereign bonds in dollars have been growing in parity, this implies greater demand from investors when observing that Argentina achieves a fiscal surplus, and in this way it can honor the public debt,” said the analyst. Salvador Di Stefano.
This Tuesday, the Ministry of Economy reported a financial fiscal surplus for May, after paying debt interest, of 1.18 trillion pesos, about USD 1,321 million at the official exchange rate, thus accumulating five consecutive months of growth.
Meanwhile, the Gross public debt set a new record in May, at USD 435,674 million, of which USD 433,222 million is in a normal payment situation. Compared to the previous month, the debt in a normal payment situation increased by the equivalent of USD 21,606 millionwith a monthly growth of 5.25%, detailed the Finance Secretary. “The variation is explained by the decrease in debt in foreign currency by USD 1,825 million and the increase in debt in local currency for an equivalent amount in dollars of USD 23,431 million,” he said.
A report from the International Monetary Fund (IMF) released on Monday indicates that the country committed to eliminating the export liquidation scheme under the “dollar blend” modality, through which they can liquidate 80% of their currencies at the official price of the dollar and 20% at the value of the stock market “counted with liquidation” in the stock market, although the Secretary of Finance Pablo Quirno denied changes in the current scheme.
“The BCRA should explain what its monetary and exchange rate policy will be in the future, in order to lift the veil of what can happen in terms of investments,” commented Di Stefano.
After favorable economic data for the ruling party, investors’ eyes are once again focusing on political issues that give the Government greater support to apply orthodox changes, agreed the analysts consulted by Reuters.
“The attention of the week will continue in Congress, since after the approval of the Bases Law and the fiscal package in the Senate, both projects must be ratified by the Lower House to be converted into law,” reported the compensation and settlement Bridge.
Last week, the Senate approved with modifications a package of reforms promoted by the ruling party that must be endorsed by Deputies, while the inflation data for May, below analysts’ estimates, confirmed the slowing trend in increases in inflation. prices in the first part of the year.
On the other hand, a currency “swap” for about $5 billion with China was renewed and the Monetary Fund approved a review of goals that allowed the disbursement of $800 million credited this Tuesday by the Central Bank.
