The falls of YPF (-3.3%) and BYMA (-3.2%) stood out. For the week, the leading indicator rose 0.1% (but fell 2.8% measured in dollars at the CCL implicit exchange rate).
On Wall Street, Argentine papers closed unevenly. Among the most important advances, appeared Bioceres (+ 4.8%); IRSA (+ 3.5%); and IRSA Commercial Properties (-3.2%). In contrast, the most outgoing pullbacks were led by YPF (-2.2%); Take off (-2%); and Grupo Financiero Galicia (-1.9%).
The new credit with the IMF was approved by the Senate with 56 positive votes, 13 negative and three abstentions, for which it became a Law since it had the approval of the lower house. Now, the endorsement of the board of directors of the credit organization is missing, which is expected to be next Monday.
The understanding establishes a grace period of four and a half years, and extends disbursement payments to 10 years, so that the country will start paying off the debt in 2026 and end in 2034, in addition to establishing growth goals, lowering inflation, strengthening the reserves of the Central Bank (BCRA) and quarterly reviews of the accounts.
Argentina must pay the IMF between Monday and next Tuesday some 2,000 million Special Drawing Rights (SDRs) -equivalent to some 2,800 million dollars-.
In this way, Argentine assets ” once more gain greater correlation with respect to the ups and downs of global risk appetite, within a still uncertain and volatile scenario,” synthesized a financial analyst, who stated that the key now passes “through the announcement of the Government in its ‘war’ once morest inflation and an inevitable rate hike”.
President Alberto Fernández plans to announce a series of measures this Friday to deal with the serious consequences of a price rise of 4.7% in February alone, with an annual projected well above 50%.
What’s more, the board of the Central Bank (BCRA) is heading to define a possible increase in the rate next week.
On Wall Street, all three major Wall Street indices closed higher on Friday, buoyed by recently battered tech stocks, following talks between US President Joe Biden and Chinese President Xi Jinping on the Ukraine crisis ended without major surprises. .
Investors also closely watched the slowdown in rising oil prices as they continued to digest the Federal Reserve’s interest rate hike on Wednesday and its aggressive monetary tightening plan to combat inflation.
US President Joe Biden warned Chinese leader Xi Jinping during a phone call that There would be “consequences” if Beijing gave material support to the Russian invasion of Ukraine, the White House said. Both sides stressed the need for a diplomatic solution to the crisis, but Xi called on NATO countries to talk with Moscow and did not blame Russia for the invasion.
The S&P 500 gained 1.2% to 4,463.55 points, while the Nasdaq rose 2% to 13,889.78. The Dow Jones Industrial Average rose 0.7% to 34,737.02. All three major indices closed with their biggest weekly gain since November 2020 (the S&P climbed 6.2%).
WTI oil rose 2% to US$105.15, but for the week left a negative balance of 4%.
bonuses and country risk
For its part, sovereign bonds in dollars closed with losses of up to 1.9%, led by the Bonar 2030.
“The titles had already been incorporating a ‘no break’ scenario with the IMF in their prices in the last rounds,” they said from Portfolio Personal Inversiones (PPI).
Thus, the country risk Argentinian, prepared by the bank JP.Morgan, It rose 13 basis points to 1,782 units, compared to an all-time high of 1,991 units last week.
In the weight segment, CER-adjusted bonds gained up to 2.2%, driven by the inflationary scenario.
