ADRs climbed up to 6% on Wall Street and country risk fell to almost three-month lows

The Argentine stocks did not stop their upward march in Wall Street and closed with strong increases of up to almost 6%. dollar bondsfor their part, ended higher, so the country risk touched its lowest level in almost three months after the decision of the International Monetary Fund (IMF) to move to Rodrigo Valdes of negotiations with Argentina to oversee the agreement.

The IMF’s maneuver to remove the official after the president Javier Milei accused him of having “bad intentions” towards his government, was read by investors as “one step closer to a new agreement between the IMF and Argentina”he assured IEB Sales Trader, Nicholas Cappella.

In this context, the Argentine stocks that rose the most in New York were Black Hill (+5.8%), Mercado Libre (4.6%), Supervielle Group (+4.2%) and Cresud (+3.4%). Meanwhile, the only one that went down was IRSA (-0.9%).

For its part, the S&P Merval index climbed 1.5% to 1,790,058.18 units on the Buenos Aires stock exchangewhich marked a positive day for local equities. The shares that grew the most in this context were those of Loma Negra (+6.5%), Supervielle (+5.9%) and Transener (+3.8%)while declines were observed in the papers of Northern Gas Transporter (-0.9%), Commercial Society of the Silver (-0.7%) and IRSA (-0.3%).

Bonds, Lecaps and country risk

The sovereign bonds The stocks started the day in the red, but during the session they turned around and ended with a majority of increases after the IMF decision. The ones that rose the most were the Global 2046 (+1.7%), the Bonar 2038 (+1.2%) and the Global 2035 (+1.1%), while the only one that showed a decline was the Bonar 2030which fell 0.2%.

In this way, the country risk that measures JP Morgan fell 1.6% to 1,422 basis points, lowest since June 21, when it reached 1,420 units.

The Bopreales, in turn, finished with slight increases, with the best passing through the series 3 which earned 35 cents.

This Thursday’s round was also marked by the inflation data of August which was released on Wednesday and was above expectations at 4.2% monthly. Therefore, the market initially set its sights on CER bondswho managed to climb up to 2.8% on average, but then they deflated at the close.

The market believes that breaking through the 4% floor will not be an easy task for the Government. Perhaps, the measure of lower the COUNTRY TAX for the Importers’ dollars Please help in that regard for the current month or the next, but there are doubts about it.

In that scenario, CER bonds, which are tied to inflation, closed with a majority of increases. Those who rose the most were the PAP0 (+5.7%), TX28 (+1.3%) and the PARP (+1.1%). Meanwhile, the only ones that fell were the TZX27 (-0.9%), DIP0 (-0.7%) and the TX26 (-0.1%).

On the other hand, the Dollar-linked sovereigns closed with average gains of 0.5%, while the duals operated with good volume in the long segment (TDE25) which rose 0.15%.

Finally, after Wednesday’s tender, the Lecaps showed offers throughout the curve, closing with average falls of 0.2%. At closing prices they were yielding between 44.38% tna (9/30) and 57.98% tna (8/29).