The market is in a good mood as Argentine stocks and bonds start the week higher

The market takes note of the global euphoria and dollar bonds extend this Monday the good run they have shown in recent weeks. Most of the bonds present rise at the beginning of the week and the country risk, measured by the JP Morgan bank, falls again to 2,175 points. Argentine stocks are also off to a good start, both on Wall Street and on the Buenos Aires Stock Exchange.

The global bonuses, which come from getting almost 10% in the last five rounds, are advancing again. PPI analysts said: “We believe they are facing the typical year-end rally of the season (personal assets photo via) and accompanied by good sentiment in emerging debt. There are just a few catalysts missing between now and December 31st, and after Massa’s successes in recent days, let’s hope for a bit of calm after the latest events”.

On the equity side, even on a volatile day in the US stock market, the cards of Argentine companies are moving in positive territory. This affects prices in the local market and the Merval index manages to recover by 1%, after closing last week with a loss.

Cohen’s analysts explained that over the past five days: “The Merval accompanied the international marketssy for the week fell 3.5% in local currency and 1.6% in CCL (GD30). Telecom had the steepest drop, dropping nearly 10%, followed by Pampa, which fell 7.6% despite its $171 million acquisition of the Arauco II wind farm in La Rioja. YPF has ceased to be the favorite of the market and has fallen by 6%”.

This Monday it is the energy companies that are back on the upside and dragging the entire stock index. Comercial del Plata jumped 3.8%, followed by Transportadora de Gas del Sur, which climbed 3.3%, and YPF paper, which recovered 2.6%.

Beyond the sports news, what the market cares about is what happens in terms of inflation and the foreign exchange front. “It will be a week full of new data. First it will be the turn of the November trade balance report. There the focus will be on the evolution of imports and the impact of the new restrictions,” they announced to Cohen.

NS