In Economy they accuse financial entities of pushing an abrupt devaluation of the peso before the end of the year.  (Photo: Telam)
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After his first 100 days in charge of the Palacio de Hacienda, Sergio Massa began a new stage in his management. It is marked by different emergenciesamong which are the casualties Bookings at the Central Bank (BCRA), the loss of purchasing power of the population caused by the high inflation and the curve of the debt in pesos.

This last question aroused the strong malaise of the minister of Economy, while he was in Bali for the G20 summit -where he was also in bilateral meetings with China and the IMF- the official closely followed the escalation of the financial dollarswho woke up the blue. This Thursday, when the Argentine delegation was preparing to return from Madrid, the MEP flirted with $320 and the counted with liquid (CCL) brushed the $340although for the closure they went back a few steps.

Also read: DOLLAR TODAY, minute by minute: the blue, the official and all the prices

The explanation is that the economy will face maturities of $847,110 million in December and the Government accused that a dozen financial entities, including leading banks, they disarmed positions and overheated the MEP and CCL dollarsuntil taking them to maximums since the July crisis.

“Three days ago, four banks sold bonds and bought them in the secondary (market). They played rumors with audios and fake newsyes pushing devaluation because they expire in the last week of December,” a high-ranking official at the Ministry launched angrily.

He was referring to the version that went around the entire market on Wednesday afternoon, prior to Cristina Kirchner’s speech in La Plata, which reported that the Secretary of Economic Programming, gabriel rubinsteinhad presented his resignation. “it’s fake”, they repeated in official offices. Even the deputy minister came out to rule out his removal through his Twitter account.

The reasons that alter the financial market again

The rumors came two days after Rubinstein went public and acknowledged difficulties in meeting the fiscal deficit target. “It is not possible to get out of the stocks now, if you do a devaluation and it goes wrong it is a Rodrigazo”, he expressed in an IAEF capital markets and corporate finance symposium. It was a statement that brought more than anger within the government.

In this altered context, specialists warn that there is a strong uncertainty on the possibilities that the Government may have for the refinancing of debt in pesoswhose maturities they crowd in the run-up to the 2023 elections. Moody’s rating agency warned this week that the Central Bank’s debt is a “macroeconomic threat.”

In Economy they accuse financial entities of pushing an abrupt devaluation of the peso before the end of the year. (Photo: Telam)

“There is a concern that is the debt in pesos. This is linked to the deficit and, above all, if the Government is going to have the capacity to pay off the debt next year. I do not see a severe sustainability problem, but there is a liquidity issue because there are many maturities together and political uncertainty,” reflected the economist from balanceMartin rapettiin dialogue with TN.

In addition to the large accumulation of maturities, other factors add to the unease of the market. For example, that in the last few hours it became known that the investment fund templeton disarmed all their positions in Argentina. According to the agency Bloombergthe firm sold more than $25 billion in bonds in the third quarter.

templeton and Pimco (which still has US$1.4 billion in local sovereign bonds), another investment fund, they were “stuck” in September 2019 in the middle of the reprofiling of the debt in pesos made by the then Minister of Economy, Hernán Lacunza.

Were pointed out on several occasions by the Government as responsible for the overheating of financiers, especially the “cash with liquid” that large firms use to dollarize abroad.

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