In that framework, Country risk, measured by JP: Morgan banking, rose 19 points or 0.8% to 2,419 units, amid weakness on Wall Street.
The Secretary of Economic Programming, Gabriel Rubinstein, denied rumors about a 50% rise in the official dollar for Thursday. “I assure you 100% that there will be no devaluation, at least not this Thursday“, said the official according to an audio broadcast by local media.
Meanwhile, the Minister of Economy Serge Massa he will travel to the United States next week to visit Washington and Houston, where he will hold meetings with the International Monetary Fund (IMF) and businessmen.
For their part, political issues also play an important role in expectations, given the tensions in the government coalition and in the opposition.
“It remains to be seen if these timid improvements are the prelude to a greater recovery or if they are insufficient given the seriousness of the situation. The key would be to obtain international financial support that allows the situation to stretch out, given certain geopolitical reasons; however, these types of improvements may be worth months but not years,” said Vat Net Financial Research.
S&P Merval and ADRs
The Buenos Aires stock market closed higher and set a new record in pesos on Monday. The leading stock index S&P Merval of Buenos Aires gained 1.66%, to 143,805.16 units as a previous record closing, after recording an intraday historical maximum of 145,859.42 points and after adding a rise of 7.98% during the last week.
The shares of the Argentine oil company YPF stood out with a rise of 5.7%, with the energy and financial segments adept at hedging against inflation and peso weakness. In addition, the shares of Mirgor (+4.9%) and Transportadora de Gas del Sur (+4%) climbed strongly.
Among the shares that fell the most were Pampa Energía (–0.8%), followed by Grupo Financiero Galicia (-0.7%) and Transener (-0.5%).
“The market maintains its own dynamics, with the central bank doing its part and assets acting as hedges, basically the stock market living with high inflation,” said a financial agent.
Meanwhile, the shares of Argentine companies listed on Wall Street traded with increases of up to 6.6%, led by YPF ADRs, followed by those of Central Puerto (+6%) and those of Corporación América (+5.1%). The declines were led by Globant shares (-1%); Grupo Financiero Galicia (-0.6%) and Pampa Energia (-0.3%).
The Ministry of Economy will tender this Monday Treasury securities in order to seek financing for some 89,000 million pesos to face a maturity of ‘Ledes’ letters.
“It is known that the problems continue and that a lot of issues need to be resolved, ranging from the fiscal deficit to the productive matrix. There is much pending and a robust ammunition package is needed, with measures that end up seducing and convincing this market that is just starting to warm up.“said Gonzalo Gaviña from Portfolio Personal Inversiones.
Source: Ambito
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