The International Monetary Fund (IMF) cut its global growth forecast for 2023 under pressure from the war in Ukrainehigh energy and food prices and high interest rates, warning that the situation could worsen significantly next year.
in the stock market, BYMA’s leading S&P Merval index plummeted a sharp 5.3% to 136,982.37 points, pushed basically by companies in the energy sector.
Shares of the oil company YPF fell a strong 7.3% in Buenos Aires, while its ADRs in New York fell 2.4%.
“The adverse external climate continues to put pressure on domestic assets, as well as on emerging ones, although they must also withstand renewed political noise and the economic uncertainty caused by the new exchange restrictions”said an economist.
Upcoming restrictions on the foreign exchange market, a sharp rise in inflation that would be around 6.8% in September and political issues that led to changes in the government cabinet, are hot topics when it comes to defining investments, said operators.
The Minister of Economy, Sergio Massa, will participate this week in the United States in the annual meeting of the IMF and the World Bank, while in Argentina the annual colloquium of businessmen enrolled in the IDEA institute is being held.
Bonds and country risk
In the fixed income segment, sovereign bonds in dollars closed with the majority of losses that, in some cases, exceeded 5%.
The most outstanding drops of the day were scored by Overall 2041 (-5.3%); Global 2029 (-3%); and the Bonar 2041 (-2.3%). In the opposite direction, they operated the Global 2035 (+2.3%), and the Global 2038 (+1%).
Thus, the risk country rises for the second day in a row, above 2,800 basis points.
Source: Ambito
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