Argentine assets record falls in bonds and ADRs, although the S&P Merval in foreign currency rises. This happens before the announcement of official intervention in the dollar but in the prior to the legislative elections in the province of Buenos Aires.
The Argentine assets They fall for the second day, although The S&P Merval measured in dollars risesafter the government announced that, through the treasure, it will begin to intervene in the exchange market in order to control the dollar. This happens in the prelude to the legislative elections in the province of Buenos Aires, and then the scandal for alleged coimas in disability.
In this framework, Titles in dollars mark low of up to 2% headers By the Global 2046, followed by Bonar 2041 (-1.8%) and the Bonar 2038 (-1.5%). Meanwhile, the country risk exceeds 900 basic points. What happens the intervention announcement in the Mulc was taken as a bad signal for the market, since it is going to the contrary of the accumulation of reserves by the BCRA, and complicates the commitments that economy has.
The PBA elections: a key testing before October
“Next Sunday will be the elections in the Province of Buenos Aires And one of the main challenges that the national ruling will face to show its competitiveness at the polls, “he explained Bursatile. “The market began to practice a defeat with the latest news and, if that result is not completed, the values of the shares and bonds can be shot”he added.
In this regard, the economist José Ignacio Bano assured a Scope That the political factor was the one that weighed the most in the variation of the assets on this day, on the eve to what will be the electoral instance in PBA, which will work as a great sample of what can be the result of the legislative elections nationwide.
In addition, The specialist said the assets experience “volatility” following the elections and political noise around the government, but that it is not a marked trend. According to Bano, if the ruling party makes a good choice, it will have “more amplitude” to take measures through decrees without being rejected by the Congress.
In that line, Bano emphasized the antagonistic visions at an economic level between the government and the opposition. “Clearly, for a person making an important investment decision, or a company wanting to put a plant, it is not the same as a government or other”he said.
S & P Merval and Adrs
For their part, the Argentine papers that are quoted in Wall Street yield up to 7.4% headed by Telecom, Supervielle Group (-5.7%) and Galicia Financial Group (-5.3%), it should be noted that on Monday they did not operate since in the US Labor Day is celebrated and is a national holiday, in this way the casualties of the previous day in the local stock exchange are currently counted in the foreign square.
For its part, The S&P Merval yields 1.4% to 1,912,552,640 points, where most actions operate downward by Grupo Supervielle (-3.1%), Metrogas (-2.9%), and Galicia Financial Group (-2.5%).
Source: Ambito
I am a 24-year-old writer and journalist who has been working in the news industry for the past two years. I write primarily about market news, so if you’re looking for insights into what’s going on in the stock market or economic indicators, you’ve come to the right place. I also dabble in writing articles on lifestyle trends and pop culture news.
