The declines in Argentine papers were led by assets in the financial sector: Grupo Supervielle fell 8.7%; Banco Macro, 8.4%; Grupo Financiero Galicia, 7.2%; and BBVA bank, 7%.
Faced with this panorama, BYMA’s S&P Merval stock index plunged 3.6% to 89,674 units, against the 2.1% drop on Monday and its intraday record of 97,024.42 points a week ago.
In the leading panel, the papers of Banco Macro, Transpotadora de Gas del Norte, and Galicia posted declines of between 7.4% and 7.2%, and led the day’s setbacks.
Investors operated with increasing caution and returned to take profits, waiting to know details about the multi-year program of more than a year that will be sent to Congress at the beginning of December, as announced by President Alberto Fernández on Sunday.
“You need to know about upcoming government announcements in the next three weeks, what issues were agreed with the IMF, and if there is internal consensus. From there we will see what direction the government’s policies take. Meanwhile, beyond the electoral result, there was no substantial news to generate a change in expectations “, commented an operator to Ambit.
The ruling party fell in Sunday’s elections, for which it ceded power in Congress, which will force a search for consensus with the opposition to leave behind a prolonged economic crisis.
Bonds and Country Risk
In the fixed income segment, bonds in dollars registered drops of up to 6.6%, as suffered by Bonar 2030, after a resolution of the National Securities Commission (CNV), which established that the limit of operations in the stock market “counted with liquidation” (CCL) must respect a technical ceiling (50,000 nominal dollars) beyond the purchases of public securities in foreign currency that each investor has made.
“The new rules, which do not change much in themselves, but add a limitation to the sale with liquidation in foreign currency per calendar week. This will be for bonds in dollars local law of 50,000 nominal, which from now on cannot be offset or netted with shopping”, explained Nicolás Chiesa from Portfolio Personal Inversiones.
With everything, Argentine Country Risk advanced 1.3% to 1,705 basis points.
On the other hand, the titles in pesos that adjust for CER registered increases of up to 1.2%, while the dollar linked bonds lost up to 0.7%.
Source From: Ambito
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