The S&P Merval cuts initial rise and bonds retreat in the last round before the elections

The leading index S&P Merval de Bolsas y Mercados Argentinos (BYMA) cuts its rise from 1.4% to 1.1% and stands at 475,323.65 units. This performance during the day contributed to a cumulative increase of 5.24% throughout the week.

In this sense, the day it’s more green than red for the actions of Lead Panel with increases up to 5% for BYMAof the 3.1% for Pampa Energía and of the 2.4% for Aluar. While the falls are up to 1.5%, led by Telecom Argentinafollowed by Galician Financial Group and Macro Bank 0.8% and 0.7%, respectively.

In the last round prior to Simultaneous and Compulsory Open Primary (PASO) electionsportfolio dollarization continues to put pressure on the exchange market.

“Argentines vote on Sunday in the presidential primaries, known as PASO, which should give a first sign of whether the country will buck the regional political trend and lean to the right in October’s general elections,” he said. Capital Economics.

“Even if that is the case, the next administration will face enormous economic challenges. And Argentina’s history shows that even the best-intentioned administration could have a hard time putting the economy on a more sustainable footing,” he estimated.

Wall Street: how Argentine ADRs operate

Inside the New York plaza, which operates with majority of losses after discouraging data on wholesale inflation and that could force the Federal Reserve to continue with its tone hawkish in monetary policy, the main indices of Wall Street They record profits from the electoral trade.

In that context, Argentine ADRs operate with majority of profits led by Take off (+7.8%), Supervielle (+3.9%), Pampa Energía (+3.2%) and Central Puerto (+2.3%). Meanwhile, the papers that record losses are Free market (-23%), Bioceres (-1.6%), Galician Financial Group (-0.8%), Telecom Argentina (-0.3%) and Macro Bank (-0.2%).

In the midst of the panorama of uncertainty and frenetic activity in the markets, Mauro Nataluccian expert at Rava Bursátil, points out: “The prices of Argentine assets have experienced intense movements, accompanied by a significant trading volume. These movements are a direct response to the preliminary electionswhich have the potential to shape the future direction of the market for years to come.”

Dollar bonds and country risk

Argentine stocks and bonds rose sharply on Thursday, August 10, and country risk hit a new six-month low. However, this Friday, the titles dollar nominees cut the good performance and recorded falls of up to 5%.

However, the country risk remains at February values, when it reached 1,907 basis points. This Friday, August 11, just over six months later, the index prepared by JP Morgan, which measures the difference paid by US treasury bonds against those of the rest of the countries, drops to 1,901 points.

The bonds nominated in dollars that operate with profits are the AL35D (+1.2%) and GD35D (+0.5%). The largest losses are registered by the GD29D (-5%), GD38D (-4%) and the GD49D (-3.9%).