Argentine shares and bonds jumped between 15% and 20% in dollars in the last wheels after the support of the US Treasury.
Argentina could soon receive the economic support of the US Treasury by Scott Besent, which is why The actions and bonds rose strongly both in pesos and dollars in the last week. In this framework, the specialists provided investment recommendations To take advantage of the potential.
Punctually, the US Treasury analyzes a package that includes a Swap for US $20,000 million To reinforce the reservations, with a first section planned after the elections and before the end of the year, destined to cover the expiration of January for US $ 4,000 million; the Possibility of a stand-by loan to define in bilateral negotiation and, if necessary, the Purchase of sovereign bonds in dollars to contain possible market turbulence.
Argentine actions rise after the support of the US Treasury
In response, Argentine actions advanced about 20% in Wall Street and sovereign bonds, about 15%. In addition, the country risk dropped from 1,400 to 1,000 points and the different exchange rates cooled until the $ 1,350 barrier per unit cool.
“The decisive support of the United States stabilized the conditions and effectively repositioned Argentina as systemically important, in Besent’s words. In this context, the market should return to a bullish or optimistic mood, since investors assign greater probabilities to recover access to the market,” they mentioned Federico Filippini and Javier Casabalstrategists in ADCAP.
Given the situation, the City executives advised to bet on local variable income, specifically that linked to the banking and financial sector, where it is located Grupo Financiero Galicia (Ggal), Banco Macro (BMA), BBVA Argentina (BBAR) and Grupo Supervielle (SUPV).
LIVING FINANCE MARKETS ACTIONS BAGS INVESTMENTS
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“As we have been holding, we believe that there will be greater sensitivity in the banking sector since it is the sector with the greatest sensitivity to changes in the risk also enhanced by the great volume they negotiate,” they said from IEB.
“We then consider a portfolio that reflects actions that have the following requirements: i) have been strongly beaten in their quotes, ii) are very sensitive to risk changes and iii) have a significant volume that makes them likely to receive flow (necessary condition that cite as ADR),” they added.
OPPORTUNITIES FOR THE BONOS
Fortunately, the current context is favoring certain some somewhat less volatile bonds than actions, which could provide Opportunities for more moderate investorsalthough not necessarily very conservative.
“Recent ads marked a turning point for sovereign debt. Bonds in dollars still have a tour of October because there is now greater predictability regarding the payments of coupons and amortizations around 2026,” he said Justina GedikianBond strategist in Cohen Financial Allies.
“Within this context, the bonars show a greater potential of Upside than the global ones, since they had been more punished in previous correction. Although the pre -election risk is reconfigured because the external support allows the elections to be more calmly, the political outcome will condition the ability to advance with reforms and to consolidate the economic direction,” he added.
Source: Ambito
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