“Now we are not going to run from the market,” commented sources from the economic team, in relation to the fact that the Government plans to sustain the intervention to put prices and yields back on track. How far will they try to push the CER curve? It’s not clear yet. The current level is not sustainable for the Treasury to be able to finance itself, but the sources consulted agreed that the indexed debt rate should have a positive sign in real terms.
A first sample of how much impact this shock will be seen this Tuesday in the first tender in June to be carried out by the Ministry of Finance, which captures the attention of the market. With few maturities this week, it will be a small placement (it will go out looking for $14,000 million expandable). But Economy will try to get part of the pesos that were left hanging around after the CER disarmament with an eye on the second tender of the month, in which it will face commitments for some $500,000 million.
In the fixed income segment, bonds denominated in dollars on Monday marked historical lows, losing more than 4%. The weighted average price of the Globals pierced US$27 and fell to US$26.84, marking another new post-restructuring low and pushing the average rate up to 25.3%. “For bonds in dollars there is no interest, which is why it is a totally closed market. Only the bonds that adjust for inflation remained, but now they are also a little closed,” commented an economist.
With this scenario, the Argentine country risk carried out by the JP. Morgan bank shot up 4% last day, an absolute record since September 2020 after the millionaire swap of private foreign debt. At the moment, it remains above 2000 units.
Source: Ambito
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