The Ministry of Economy opted to offer a slight premium on all available instruments in a recent bond placement, which is considered a success. However, a greater challenge is forecast for March 12, with maturities of approximately $4.6 trillion. The strategy that the Ministry of Economy adopts regarding rates and terms will be crucial for the success of this upcoming placement, in an economic context marked by volatility in the markets.
On the international front, tech stocks led the declines on Wall Street, dragged down by the sharp drop in Nvidia following its earnings report. Although the US economy grew in the last quarter, weekly unemployment benefit claims exceeded expectations, indicating a weakening labor market.
Among the most affected stocks in Argentina are Transener with a decline of 7.5%, Banco Macro with 6.3%, and Sociedad Comercial del Plata with a drop of 5.9%. The shares of Argentine companies listed on Wall Street also closed lower, with Banco Macro being the most affected, down 8.5%.
Regarding the last auction in February, the Ministry of Economy managed to award $4.4 trillion, and the surplus was deposited in the Treasury account at the Central Bank of the Argentine Republic, marking a positive net result not seen in five months. Sovereign bonds in dollars suffered notable declines, and country risk reached a new high for the year, standing at 769 basis points.
In the political sphere, the PRO is preparing to reject the appointment of Ariel Lijo as a Supreme Court judge, increasing tensions with La Libertad Avanza. Additionally, amid uncertainty over the mid-term elections and negotiations with the IMF, investors are awaiting catalysts to reactivate Argentine assets.
The Merval index registered a decline of 3.6%, reflecting a correction in the Argentine market, and from opposition sectors it is warned that recent decisions jeopardize the independence of the Judiciary and reflect the lack of political consensus around justice.
