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ADRs climb up to 6.4% on Wall Street, with the leadership of YPF

ADRs climb up to 6.4% on Wall Street, with the leadership of YPF

The leading stock index S&P Merval from Buenos Aires It gained 1% this Friday, to 123,333.93 units in a selective market, after closing with a rise of 0.98% on Thursday.

Among the shares that rose the most, those of Loma Negra stand out with a wing of 2.4%, followed by those of Transportadora de Gas del Sur (+2.3%) and those of YPF, with an increase of 2.2%. .

The Argentine market remained on Friday in a waiting pattern attentive to economic decisions that direct the country’s accounts, a day after a 7.4% rise in July inflation was disclosed and that the central bank (BCRA) will raise its reference rate by 950 basis points.

Investors are awaiting signals from the new economy minister, Sergio Massa, who promised to lower the fiscal deficit, strengthen BCRA reserves, reduce inflation and give a greater boost to trade.

“This is the greatest challenge facing the brand-new economic leadership: to implement a coordinated and consistent plan of fiscal, monetary, foreign exchange and income measures that will ensure a drastic drop in inflation”he claimed Victor Beckerfrom the Center for Studies of the New Economy of the University of Belgrano.

For their part, external markets improved in response to signs of lower inflationary pressures, which fueled increases in global stocks.

Wall Street’s main indexes rose on Friday, putting the S&P 500 and the Nasdaq on track for a fourth straight week of gains on mounting evidence that inflation may have peaked.

The S&P 500 rallied 16.8% from its mid-June low, with the latest boost coming from a slower-than-expected rise in consumer prices and a surprise drop in producer prices in July.

In that framework, the benchmark index crossed an observed technical level of around 4,231 points, indicating that it recovered 50% of its bear market loss.

The Dow Jones Industrial Average was up 185.45 points, or 0.56%, at 33,522.12, while the S&P 500 was up 35.45 points, or 0.84%, at 4,242.72. The Nasdaq Composite added 153.87 points, or 1.20%, to 12,933.79 units.

In equities, volatility is still the order of the day in the world itself, and Argentina is an even more complicated underworld. It is time to wait for some drivers to see if the change that this new economic team proposes can really be put into practice“, said Nicholas Church, of Personal Portfolio Investments.

It should be remembered that on Thursday, with the highest monthly inflation in two decades, and the reaction of the Central Bank, which surprised with a very strong rate hike, Argentine stocks and bonds operated in positive territory despite a very volatile international market. , which erased early gains, following Wednesday’s euphoria in response to a lower-than-expected US CPI.

Meanwhile, the market remains attentive to the implementation of a series of economic measures recently announced by the new Economy Minister, Sergio Massa, which seek to lower the fiscal deficit, strengthen BCRA reserves, reduce inflation and give a greater boost to trade.

Bonds and country risk

In the fixed income segment, sovereign bonds denominated in dollars They operate this Friday with most losses, which reach up to more than 3%. This is the case of the Bonar 2038. Meanwhile, the Bonar 2035 fell 2.3% and the Bonar 2030, 2.2%.

For his part, the risk country measured by JP Morgan bank falls this Friday 0.4% to 2,432 units.

The Ministry of Economy tendered this Thursday some $182.0000 million three Treasury Bills in pesos maturing in 2022 and 2023, after achieving 85% acceptance this week in a debt swap with short-term maturity for some 2 trillion pesos (about 14.95 billion dollars) for dual bonds (dollar -link/inflation) maturing in June, July and September 2023.

The dual bonds manage to protect the investor against inflation and/or devaluation, explained Delphos Investment and pointed out that “We think the stocks have some appeal. However, considering the sheer mass of maturities coming up next year, investors should be cautious.”

Source: Ambito

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