The ADRS and the dollar bonds had a month for oblivion and sank up to 25%, while the S&P Merval It also collapsed in a month that was marked by the high interest rates and the political tensions After the impact of the alleged coimas on the National Directorate of Disability (Andis).
In Wall StreetEdenor headed the monthly losses of Argentine assets after contracting 25%, followed by Grupo Supervielle (-24%) and BBVA Argentina (-23%). In addition to the impact by the scandal on the Andis, the monthly fall of the papers was explained from the government’s legislative setbacks in the Congress and the extreme volatility of interest rates.
So far this month, The S&P Merval lost 14.4% to 1,984,845.04 points, while its counterpart in dollars It did 14.3% to 1,463.26 points. The closeness to Legislative elections and the deterioration of some economic indicators were factors of uncertainty in the market throughout the month.
Balanz’s product manager, Isabel BottaHe stressed that August’s casualties were led by industrial sectors, discretionary consumption, materials and bankswhile Real Estate showed greater resistance with a setback of just 4%.
For their part, from Sailing Inversiones indicated that The S&P Merval accompanied the bearish trend of the fixed -rate bond curves, the CER and the debt in Hard Dollar in a month that was marked by the strong volatility of the interest rates. Among the sectors, the bank stood out as one of the most punished by the “very weak balances that reflect the fall in credit activity” and “the pressure of high rates.”
At a daily level, S&P Merval dropped 0.6% this Friday, and in dollars did 1.3%. Among the main downward actions stood out: Commercial Company of the Plata (-4.5%); Edenor (2.7%); and Metrogas (2.4%). In turn, ADRS They fell up to 4%of Edenor’s hand, followed by Cresud (3.6%) and Banco Macro (2.6%).
Banks papers maintain a lazy performance while the concerns regarding the dynamics of their business in the short term, according to the economist, weigh on the market, according to the economist Gustavo Berwho points out that even the technical rebounds of domestic assets last little, since the political context conditions beyond the important accumulated declines.
Bonds in dollars and country risk
On the other hand, the dollar bonds operate mixed with the Global 2046 winning 1.2%, the Global 2029 advancing 1.0%and the 2030 Bonar 0.1%. As it counter, Bonar 2041 falls 0.8%.
The last data of country risk (EMBI, prepared by JP Morgan) of August 28 showed a value of 837 basic points and showed a 1.9% drop with respect to the previous record.
“The CER bonds came to offer absurd yields. To that it is added that today they provide greater coverage than a fixed rate, which explains the rotation of the market towards this segment. The TX26, for example, came to give closed +32, a nonsense for a title of these characteristics”he said Dante Ruggieripartner of AT Investments. “That is why they have been climbing on the last wheels: they had been very cheap and now offer protection that the LECAP does not have,” he finished.
Source: Ambito
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