The Argentine stock market activity shows an upward trend this Monday, January 8, due to investment selectivity, awaiting news in the negotiations with the International Monetary Fund (IMF), which this Tuesday will meet with the Minister of Economy, Luis Caputo, in the midst of arduous legislative negotiations to unblock the treatment of the omnibus law in Congress.
In that context, The leading index S&P Merval rises 0.86%, to 1,064,472.62 units and his absolute record of 1,084,545 points, scored on December 13, is approaching against him.
The strong rise in Mirgor in recent days this Monday is striking. It had already risen 18% on Friday and this Monday it maintains the trend and climbs to 12.6%. That manufacturing company is one of the notable ones in the latest wheels.
“After Milei’s speech in the first days, it was very punished for being a company based in Tierra del Fuego and now it is recovering ground. It is still a good company,” he explains to Area Leonardo Svirsky, traderabout this trend.
Far from Mirgor, although also with an interesting climb, with an increase of 5.16%, it is followed by the action of Bolsas y Mercados de Argentina (BYMA), while Transportadora de Gas del Nortes climbs 3.22% and Transportadora de Gas del Sur climbs 2.68%. Meanwhile, Ternium fell 3.6%, Aluar fell 2.99% and Telecom fell 1.42%.
The context of the markets
On these days, The Government will have to face a debt maturity with the IMF, When December inflation must also be reported, it is expected to be the highest in almost 33 years, around 30%.
“The market does not have financial instruments that serve to hedge against inflation, so liquidity is transferred to ‘Negotiable Obligations’ (ON) and some secondary shares on the stock market, because definitely in fixed income (bonds) there are no alternatives in sight,” a financial analyst at a Buenos Aires brokerage told Reuters.
The dynamics of Argentine stocks on Wall Street
The Argentine shares on Wall Street, for their part, have mixed prices. The one that falls the most is Banco Financiero Galicia (-1.98%), Banco Macro (-1.76%) and those that rise the most are Mercado Libre (+1.86%), Central Puerto (+0.78 %) and Biocere (+0.35%).
Source: Ambito
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