The Argentine stocks and the dollar bonds listed in New York fell up to 4% this Tuesday June 11th due to taking profits in the face of investment uncertainty prior to the treatment of the Law Bases and the tax package in it Senate. In that context, the risk country once again surpassed 1,500 basic points.
Given this scenario, in the Buenos Aires stock market, the S&P Merval lost 2.1% to 1,544,869.310after climbing 3.8% in the previous session and improving 24.8% during May.
Argentine assets fall prior to the treatment of the Bases law and the fiscal package in the Senate
In the midst of a close vote, according to analyst estimates, the president Javier Milei could reach the endorsement of the Senate to their proposals.
“One of the hypotheses maintains that, both stocks and bonds had an excellent day in yesterday’s round (Monday) because the Government would have reached the necessary numbers, although in a tight manner, to generally approve the Base Law and the fiscal package,” said Portfolio Personal Inversiones.
“It is likely that we have seen a bottom in the short term. However, Any event that substantially changes the perception of the country can make Merval retreat in its valuation,” he said.
On the other hand, last week the Chamber of Deputies gave half a sanction to a new formula for updating pensions to replace the mechanism that Milei imposed by decree, which must be endorsed by the Senate and is rejected outright by the Government since it affects the treasury coffers.
The Minister of Economy Luis Caputo He said this Tuesday in a private event that the public coffers had “a surplus in March, April, May and it will continue like this” and assured that the Government “is not going to give up the macroeconomic order.”
The Treasury will put out to tender on Wednesday three Lecaps for which it will seek to renew maturities for about 5.2 trillion pesos.
Minister Caputo estimated with respect to the variations in the exchange market that in the market “there will surely be a little more volatility.”
Bonds and ADRs
The Sovereign bonds fell to 4.6%, led by the Global 2041followed by Global 2038 (-4.1%), the Bonar 2038 (-2.1%), the Global 2035 (-2%) and the Global 2029 (-1.9%). In that context, the risk country rises 23 units, or 1.6%, and is located at 1,511 basis points, according to the measurement of JP Morgan.
Argentine shares listed on Wall Street fall up to 3.5%, led by Macro Bankfollowed by Pampa Energy (-3%), Supervielle Group (-2.6%), Gas Carrier (-2.6%), IRSA (-2.6%) and Black Hill (-2.4%).
Source: Ambito
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