The Financial dollars halt their bearish rally and once again surpass $1,300 This Wednesday, July 17th. It happens while the market is distrustful of the new Government measures, which imply a loss of reserves and could make it difficult to get out of the currency controls in the future.
After having collapsed more than $140 between Monday and Tuesday, the dollar “counted with liquid” (CCL) rebounds 1.3% ($16.05) and is located in the $1,302.04. For its part, the dollar MEP advances 1.8% ($22.56) to $1,301.50for which reason the gap With the official exchange rate it again exceeds 40%, to position itself specifically in the 40.8%.
Prior to the official announcements at the weekend, stock exchange rates had been chained four consecutive weekly increaseswhich raised the spread with the wholesaler regulated by the Central Bank (BCRA), from 40% to a peak of 56%.
Faced with this jump, which began to put the inflationary deceleration process at risk, officials of the Executive Branch communicated that The monetary authority will begin to use foreign currencies that he bought in the official market for intervene in the stock market.
The Government began a new stage of monetary/exchange rate policy
With this decision, the Government It fundamentally seeks two things: on the one hand, that the BCRA absorbs the same amount of pesos that it issued to buy dollars in the official market and, on the other, to reduce the exchange rate gap.
For example, if the Central Bank buys $100 today, it will issue $92,450. What it wants to do now is to remove those pesos from the market by selling CCL, which at current prices would mean losing $71 of those $100, while the surplus would go to the accumulation of reserves.
According to the Ministry of Economy at the beginning of this week, the equivalent of the $2.5 billion that the monetary authority issued each time it received foreign currency from exports or other reasons will be sold at the CCL. This would imply a outflow of reserves of approximately US$1.92 billion.
The market is concerned that the BCRA will stop accumulating reserves
The new strategy puts the objective of accumulating reserves on the back burner, something that worries the markets considering that in the third quarter fewer dollars usually enter the country due to seasonal reasons. In addition, the use of reserves to intervene in financial markets is something highly questioned by the International Monetary Fund (IMF), which could be a cause of tension in the face of the new agreement.
“The government’s announcement over the weekend on monetary matters was clearly very hasty when it should be the BCRA that should be the main actor. The most important thing is to reduce the gap that affects the shelves with price increases, which threatens Milei’s political capital,” said an economic analyst from a foreign private bank.
“What is worrying, and the markets are exposing it, is the slowdown in the accumulation of reserves, which makes bondholders nervous. and that is why they fell, at the same time as the country risk naturally rose,” he added.
How much is the official dollar trading today, Wednesday, July 17?
In the official exchange market, the Wholesale dollar rises $1 a 924.50 per unit.
How much is the dollar futures trading today, Wednesday, July 17?
In future dollar contracts, the price rebounds in the longest part of the curve. Towards August, it rises 0.2% to $977.5, in October it advances 0.2% to $1,065.5 and in December it stands at $1,168.0.
How much is the blue dollar sold for today, Wednesday, July 17?
He blue dollar is quoted in $1,430 for sale, According to a survey by Ambit in the caves of the City.
How much is the MEP dollar worth today? Wednesday, July 17
He MEP dollar operates to $1,299.25, so the gap with the official is 40.54%.
CCL dollar value today, Wednesday, July 17
He dollar Cash with Settlement (CCL) was quoted at $1,296.05 and he spread with the official it is located at 40.19%.
Dollar card price today, Wednesday, July 17
He dollar card or touristand the dollar savings (either solidary) is located at $1,506.40
Crypto dollar quote today, Wednesday, July 17
He crypto dollar or Bitcoin dollar operates to $1,319.85according to Bitso.
Source: Ambito
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