After the financial instability generated by the departure of Martín Guzmán from Ministry of Economy and the brief trial of Silvina Batakis, the arrival of Serge Massa put the market in a “wait and see” mode.
Financial analysts consider that during August, when the different prices of the dollar stabilized and the government managed to clear up doubts about a potential rescheduling of maturities in pesos, the operators gave Massa a “truce”.
“The announcements of the new economic team did not differ substantially from the roadmap outlined in the agreement with the International Monetary Fund (IMF)”says the Chief Economist of PwC Argentina, José María Segura.
Segura said: “The big difference seems to be that it has political support, or rather the absence of public rejection, from other members of the ruling coalition.” For the operators, the decision of the new economic team to seek a fiscal order, while making cost cuts, was a positive sign.
For its part, Ministry of Economy announced the so-called soybean dollar, a more favorable exchange rate to speed up oilseed sales.
“Although the attack against the vice president does not seem to have immediate economic consequences, it does have the risk of increasing social tensions, making any attempt to reduce the deficit politically more difficult,” said Roberto Geretto of the Fundcorp investment fund.
He added that “the ‘soybean dollar’ of 200 pesos represents an appreciable improvement for the producer, and it may speed up the liquidations (…) However, it has the risks that they simply advance liquidations of later months and (…) late or later the greater monetary emission ends in inflation and/or greater demand for imports”.
Source: Ambito
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