Against this background, the main rises in Argentine bonds were recorded by the energy segment, after the government announced on Tuesday that It will allow access to foreign currency to hydrocarbon companies that increase their production compared to 2021, despite the existing restrictions in the foreign exchange market. The measure seeks to stimulate the arrival of new investments to develop the energy sector.
This highlighted the progress of South Gas Carrier (+5.4%); VistaEnergy (+4.5%); Central Port (+3.8%); and Pampa Energia (+3.4%). The shares of Cresud (+3.4%) and Mercado Libre (+3.3%) also stepped on strongly, after the 10% drop the day before.
“Investors continue to rehearse premature and selective bets on a change of course after the elections that contributes to improving expectations,” commented a market operator.
At the other extreme, the assets of Bioceres (-4.5%); IRSA Commercial Properties (-1.8%); and Telecom (-1.1%).
Oil companies that increase their production compared to 2021 will be able to access foreign exchange for an amount equivalent to 20% of that increase, while gas companies will access on a basis equivalent to 30% of the increase in the injection into gas pipelines compared to the year previous.
“From the macroeconomic point of view, accelerating energy development would allow the country to have more foreign currency with which to sustain economic growth,” explained the Minister of Economy, Martín Guzmán in an announcement made on Tuesday in front of important businessmen in the sector.
On the New York Stock Exchange, meanwhile, The S&P 500 gained 38.55 points, or 0.94%, to 3,980.03, while the Nasdaq Composite gained 166.41 points, or 1.48%, to 11,430.86. The Dow Jones Industrial Average advanced 192.51 points, or 0.60%, to 32,119.74.
Electric car maker Tesla and retailer Amazon.com provided the biggest boost to the S&P 500 and the Nasdaq, rising 2.6% and 4.9%, respectively.
The minutes of the May meeting of the Federal Open Market Committee, which culminated in a 50 basis point hike, the largest increase in 22 years, showed that most committee members judged that it “would probably be appropriate” to continue raising rates in June and July.
“Uniformity of opinion is a good thing,” said Ross Mayfield, an investment strategies analyst at Baird. “By the time (the Fed) gets to September, they will have plenty of economic data to make their move from there, so they continue to keep their options open,” he added.
Bonds and country risk
Regarding fixed income, sovereign bonds closed with firm increases in the US that, in some cases, reached up to 0.9% (Global 2038), looking to regain some ground after the sharp declines of the last few weeks.
In the market, It is feared that the next administration may be forced to face a new restructuring in the face of the arrival of growing commitments, or eventually try some reorganization of the debt in pesos in the face of the growing amounts, participation of the CER adjustment and short-term profile.
With everything, country risk measured by the JP.Morgan down 0.9% to 1,917 basic points, the second fall in the last three days.
Source: Ambito
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