The S&P Merval recovers upward bias, but bonds fall and country risk increases 1%

The main increases were registered by the shares of Telecom (+ 3.5%), Pampa Energía (+ 2.6%) and Central Puerto (+ 2.4%), while the most important casualties were recorded by Cablevisión (-2%), Edenor (-1.6%) and BYMA (-1.5%).

On Wall Street, for their part, ADRs Argentines operate with a majority of casualties, with IRSA leading the falls (-2.7%) Y Mercado Libre leading the increases (+ 2.8%).

“Some investors may be more inclined to close their tactical bets after the recent strong recovery,” they commented from the market.

Global stock markets show negative movements pending new measures in the face of an increase in cases of Covid-19 outbreak.

Bonds and country risk

In the fixed income segment, the main bonds issued in dollars fell to more than 2%, so that Argentine country risk climbed 1% to 1,368 basis points.

“The restructuring of Argentine debt served to reduce the average rate from 7% to 3.07%. However, the” step-up “structure of the new bonds means that the current yield of the first years, that is, of the is currently vastly lower than other similarly rated bonds “, evaluated the consulting firm Delphos Investment.

Added that “Argentine debt would move more with the evolution of the cost of capital rate of stocks than with bonds, since, with such a low current yield, they are more similar to the former than to the latter.”

On the other hand, the titles in pesos tied to the CER (inflation) recorded increases of up to 1.4%, among the main references.

It occurs on a day in which the Ministry of Economy, commanded by Martín Guzmán, bidding bonds in pesos in search of financing for $ 180,000.

Among the three instruments to be tendered are two CER-adjusted bonds, the first maturing in 2021 (TX21) and the second in 2022 (TX22), with respect to the third option, it is the TY22 fixed rate bond.

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.