Despite the news that Argentina could be reclassified as an emerging market, stocks and bonds are trading with descents.
The Leading shares on the Argentine stock market are trading lower this Tuesday, August 20 and cut eight-day bullish streak and bonds and ADRs also fall on Wall Street. In that context, the country tax is on the rise and is very close to 1,500 points.
This is happening despite the fact that the news of a possible upgrade of Argentina’s rating, which would make it an emerging market, was welcomed by the city and could generate a flow of investments in local stocks for US$1 billion, according to JPMorgan.
Stocks and the S&P Merval
However, some persistent doubts about the continuity and sustainability of the economic plan make the index S&P Merval fell 0.28% to 1,652,502.680 points. Stocks lose up to 3% on the leading panelled by Telecom, Cresud (-2.40%) and Supervielle (-1.85%). Meanwhile, those that rose were Pampa Energía (+0.19%) and Transportadora de Gas del Sur (+0.10%).
ADRs on Wall Street
The Argentine stocks in New York quote in red also, with a fall of up to 4.05% led by Telecom, Irsa (-3.49%) and Grupo Superviellle (-3.45%). Only Transportadora de Gas del Sur rose, barely 0.68%.
Bonds and country risk
In the fixed income segment, the dollar bonds The majority of the indexes are trading with falls of up to 2.5%, led by the Global 2041 (GD41), followed by the Global 2046 (-1.7%) and the Bonar AL29 (-0.7%). Thus, the country risk has risen by 24 points (+1.63%) to 1,495 basis points.
Source: Ambito
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