With his eyes focused on political issues, Argentine stock market Monday’s session began with selective losses due to persistent unwinding of positions due to profit taking.
The leading index S&P Merval of the Buenos Aires stock market fell 0.38%to 1,513,680.68 units, after losing 8.24% last week and accumulating an improvement in 62.81% so far this year.
“The attention of the week will continue in Congresswaiting for definitions regarding the so-called base law and the fiscal package,” said compensation and settlement agent Puente.
The Senate will begin on Wednesday to discuss the government-sponsored projects that, if approved with modifications, they should return to Deputies to vote on the changes.
On the other hand, the Chamber of Deputies gave half a sanction to a retirement mobility projectbecause it implies an extra payment of 8.1% to retirees as a recomposition, which the Executive said it will veto because it considers that it puts the balance of public accounts at risk.
Congress could ratify the initiative to obtain two thirds in both chambers, inducing the Executive to accept it. If so, investors will be attentive to the fiscal impact of the measure and the evolution of the primary and fiscal balance of the State, Puente explained.
