The announcement on the agreement with the IMF did not clear the doubts of the market. Nor the clarifications of the president and his officials. The BCRA continues to lose reserves and the exchange tension persists.
Last Thursday we suffered a couple of notes/interviews with members of the National Cabinet and President Javier for Try to calm change markets. To do this, they went out to install from the morning with the departure Luis Caputo to express “… we have a loan with the IMF for US $ 20,000 million that we are waiting for them to deposit…”. The only reality is that last Monday (March 24) from the US it was reported that the technical team (Staff) met with the directory (Board) of the multilateral body to begin formal negotiations with the Argentine Republic.
30 minutes after those statements, Julie Kozack (FMI spokeswoman) He advanced his usual press conference on Thursdays for the purpose of clarifying that Argentina made a substantial request for credit and are in negotiations. The results of these two statements at first A brutal fall began by pulling the beginning of the demon and throwing the bonds down and began to raise the country risk as well.
Given these realities, the despair seized the Government and at the time the President members were on the screen, the president was unable to explain the situation but as always to assault and insult A, who he understands, are his direct rivals. During the afternoon, the president of the Budget Commission went to mudy it by saying mathematical and being ridiculous to the whole society. We learned during the end of the afternoon that in the IMF they were very “hot” with the statements and the one hurried by the media that the Minister of Economy wanted to cause.
BCRA dollar reservations
Ambito.com
On Friday morning it is noted that someone from our country requested that the situation be clarified and from the IMF reported that “… Argentina asked the IMF to a credit of US $ 20,000 million that includes everything in that amount…” no matter how much they wanted to affect the markets again the effect was contrary to what was sought because the exchange tension increased and even began to establish an incipient bank. He sold $ 192 million but the fall of reservations was 447 million that would continue to leave the savings boxes in dollars to go to safety and disarmament boxes of the current financial bicycle (Carry Trade).
The market seems that the national government does not believe much since on Thursday $ 9.2 bm of letters were tendered and only $ 0.7 Bm were renewed from the private sector, another 5.5 Bm were bought by the BNA and for the remaining $ 3 bm, the BCRA was forced to repurchase them.
As a result we have to at the end of Friday the blue/free dollar had only dropped 10 pesos since Wednesday and was at $ 1,300, the CCL rising to $ 1,311, the MEP at $ 1,305 and the crypts ended up at its seller tip between $ 1,325 and 1,350. The country risk this week never stopped uploading and culminated at 797 basic points.
With these closing data and unless there is a level of monstrous intervention over the dollars of the stock market, things that we no longer believe because it would seem to be “ended by the gasoline”, it would indicate that the upward trend of all contributions will continue having submitted the population to a useless sacrifice for 15 months because the problem in our country is how I have been expressing since 2018 the legalized bimonary economy since 1992.
Economic and Tax Analyst
Source: Ambito
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