This Tuesday, the Buenos Aires Stock Exchange closed with significant drops in its main indicators. The Merval index fell by 3.4% in dollars in the local market, influenced by an adverse international context and the lack of news regarding a possible agreement with the IMF. The country risk reached its highest peak so far this year, reaching 742 basis points.
On the other hand, declines were also observed on Wall Street. The Nasdaq dropped by 1.16% and the S&P 500 by 0.51%. Stocks suffered declines of up to 5% on Wall Street. Investors appeared cautious and selective, awaiting news to support the economic program of Javier Milei's administration.
Analysts agree that this downward trend is temporary and is related to uncertainty in the markets, both locally and internationally. Although sovereign bonds recorded losses of up to 0.5%, the equity market was the most affected on this day.
In international markets, the Dow Jones posted a slight increase of 0.20%. However, the ADRs of Argentine companies on Wall Street, such as Transportadora de Gas del Sur and Central Puerto, reported significant drops of 5.4% each.
According to the index compiled by JP Morgan, country risk continued to rise, reaching levels not seen since early December. Investors remain on the lookout for indicators that will provide greater clarity regarding the economic direction of the country.
