As the Bases Law continues to progress through Congress and is being discussed in detail after its approval by Deputies, the Argentine stock market is experiencing an upward trend while bond prices are falling. In New York, Argentine stocks have shown increases of up to 3%, with the Merval advancing 1.5% in Buenos Aires. This positive performance for Argentine stocks is a result of strong banking sector results, particularly due to the resurgence of mortgage loans.
In contrast, on the New York stock market, the Dow Jones index experienced a slight decrease of 0.7%. However, some ADRs such as Galicia, Edenor, and BBVA have shown increases of 3.3%, 2.5%, and 2.4%, respectively. Other ADRs like Despegar, Globant, and Loma Negra have seen losses of 4%, 1.9%, and 1.8%.
The JP Morgan indicator measuring debt costs has decreased by 16% in the month and 36% in the year, indicating lower country risk. Public securities have averaged a slight decrease of 1%, with some exceptions like the AL 41 bond which fell by 3.7%. Financial experts believe that successful negotiations with the opposition on key financial issues such as recovering Income Tax by governors have had a positive impact on the market.
On currency wise, the blue dollar has dropped by five pesos, now trading at $1.040. Among financial dollars cash with liquidity and MEP have experienced slight increases while official dollar has corrected by only .1% closing at $877 for month representing an increase of about .2% from last month at wholesale level amidst a high inflation rate accumulation in quarter of around .60%.
