The increasing narratives about the possibility of taking down the Speaker of the House of Representatives, Serge Massa In the National Cabinet Taking charge of all areas related to the economy has led to a positive outlook in the markets, reinforcing the upward trend that has begun to appear in the recent operating rounds.
Adjustments in the portfolio to relaunch the administration will be decided by Alberto Fernandez with the approval of Cristina Kirchner, but all roads point to Massa, who has already warned that his condition for the descent is to have autonomy in all economic sectors, in particular the Energy Secretariat, the AFIP and the Central Bank.
The Speaker of the House of Representatives, who has accompanied the President on his recent tours and has been instrumental in communicating with businessmen from Europe and the United States, He will arrive with a ready team. During the period of the Frente de Todos government, he actually cooperated in debt swaps with bondholders and in negotiating with the International Monetary Fund (IMF).
News of this magnitude, with a coalition in need of rebuilding its political capital, has had a notorious impact on financial markets.
In this context , Argentina’s dollar-denominated sovereign bonds have risen 7% on average, for a streak of three consecutive rounds of gains, from their lowest values in two years. JP Morgan’s country risk cut at least 146 units for Argentina, to 2,684 basis points 6:10 pm
The Standard & Poor’s Merval From the Buenos Aires Stock Exchange advances 5.3% to 126,362 points, in its sixth consecutive session of gains. The Leading Shares Committee reported a 42.5% gain in the peso during the month of July.
On Wall Street, ADRs and shares of Argentine dollar-traded companies were up as much as 9%, led by Central Puerto (+9.2%) and Mercado Libre (+8.7%). Grupo Galicia gained 4.9% and YPF 4.5% at $3.34.
It also prompted the best investment mood Successful deposit of treasury debt in pesos in Wednesday’s tender which is reported, It reached 550,000 million pesos, twice the maturities, helping to maintain the government’s net positive funding.
The positive momentum was contributed by a strong bullish reaction on Wall Street, after Federal Reserve From the United States (Fed) returned to raise prices Rate is at 0.75 point as part of its efforts to curb hyperinflation and with the specter of a possible recession in the air. Wall Street’s leading indexes gained between 1.4 and 4.1 percent.
The government will achieve the goals agreed with the International Monetary Fund after the first visit of the Minister of Economy to Washington, Silvina Patakiswho took office after his predecessor resigned amid internal tensions in the Todos Front coalition.
Over the course of two days, Patakis met with officials from the Treasury, the World Bank, investors and, above all, the Managing Director of the International Monetary Fund (IMF), Kristalina Georgiev.
ancestor of Batakis, Martin Guzmanthe architect of the postponement of the renegotiation of Argentina’s debt, but was strongly criticized by the Vice President Christina KirchnerHe resigned from office in early July after two and a half years in the president’s government Alberto Fernandez.
With inflation approaching 80% or 90%, there are still no details on when the changes in government will occur. Some talk about Friday max. Others next Monday. If so, the ministerial redistribution would coincide with the beginning of August, the month that has been proposed in all regions as the “economic hinge” between winter and spring. For September, the Treasury expects the economic situation to be more comfortable, due to the increased availability of dollars that would allow for a seasonal decrease in spending on energy imports for private consumption.