In the midst of the strong escalation in the rates, the government put some caution for this tender and there will be maximum amounts in the short Lecaps.
The Ministry of Economy will carry out a transcendent debt tender in pesos, through which it will seek to renew as many 15 billion as possible They defeat this week. The market expectation is fundamentally set on the rates that will validate the portfolio that Luis Caputo leads.
In the last placements, the treasure validated a strong increase in rates, with the aim of channeling the liquidity that was “loose” after the disarmament of fiscal liquidity letters (Lefis) and thus also avoid a greater pressure on the price of the dollar. However, the excessive leap in yields led to the government to take greater caution for this tender.
“The novelty in this case is that there will be Maximum amount in short LECAPS. We believe there are several readings about it. On the one hand, the government is already warning that it is willing to leave more than $ 7 billion outside to resolve liquidity issues. This can generate a lot of competition for the rate for those who want to go to the short section, generating a low rate (either in the secondary market since many will want to anticipate the tender, or in it for the competition in the price of orders), “Nicolás Cappella said Tuesday, to invest in the stock market.
In turn, the Government will also tender Tamar instruments. “The play seems to be, in the short stretch to fight rate, generating that it goes down, added to providing the liquidity that is needed for this purpose and if you want to look for more rate you must extend duration to post elections,” Cappella added.
The treasure cushioned the expiration scenario
Last week the treasure carried out an operation of debt exchange for about $ 5 billion with the Central Bank, to which he withdrew Lecaps that he had in his portfolio to clear the expiration scenario of this month. In this regard, the Secretary of Finance, Pablo Quirno, said the maturities are the following:
August ($ 23.01 billion) 15/8 (S15G5) $ 14.98 billion 29/8 (S29G5) $ 8.03 billion September ($ 7.73 billion) 12/9 (S12S5) $ 5.06 billion 30/9 (s30s5) $ 2.67 billion October ($ 5.58 billion) 17/10 (S17O5) $ 3.86 billion (S31O5) $ 1.72 billion
“I understand that the confusion can be generated by including in the maturities the lecaps in the power of the BCRA (replacement of Lefis) that are refinating Outside bids at market prices. Treasury’s financial strategy will continue to be consistent with monetary policy avoiding surpluses. This financial strategy is unprecedented in the country and can be carried out by the conviction and commitment of President @jmilei with his government team with fiscal balance.
Source: Ambito
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