The S&P Merval is heading for its third weekly drop: shares fall by almost 4%

The Argentine stock market drops this Friday, February 23, dragged by the strong drops in the CCL and is heading to mark its third weekly drop, although it reduces the magnitude of the decline compared to the previous seven days.

He S&P Merval stock index give in 1.4% to 1,060,067.05 units, after winning a 3.5% on the eve

The weekly drop in the stock market in pesos is barely 0.5%. As opposed, in dollars it maintains a positive of 2% compared to a 2.5% drop in CCL dollar.

“It seems that the (stock) market is detaching itself from the trend of alternative dollars and for the first time in the week it remains on the rise (measured in dollars) encouraged by purchases in leading stocks,” said an operator.

Meanwhile, the shares of the local market operate with a majority of losses, led by the Galicia Financial Group (-3.1%), followed by Edenor (-2.7%) and Ternium (-2.6%). For their part, those that rise the most are Pampa Energy (+1.4%), BBVA (+1%) and Stock Bank (+0.5%).

Milei said that he will advance a currency competition system that includes the devalued local peso and assured that he will promote a bill to penalize the central bank’s financing to the Treasury, seeking to restrict monetary issuance to stop inflation that currently exceeds the 200% annually.

ADRs

The Argentine stocks that are listed in Wall Street operate with a majority of losses of up to 12.3%, led by Free marketwhich reported on Thursday that during 2023 its profits that were maintained and generated a great decline in the company’s papers. They followed Edenor (-3.5%), Telecom (-1.5%) and Take off (-1.4%), while those that rose the most were BBVA (+2%), Macro Bank (+1.2%) and Pampa Energy (+0.9%).