Dollar today: the free price returned to $ 200 and the country risk rose after the legislative rejection of the 2022 Budget

The dollar sales that dominated the first half of December fell. Photo: REUTERS / Agustin Marcarian / Illustration

The free dollar rose $ 1.50 this Friday and is trading again at $ 200 per unit, leaving behind a bearish first half of December. The bullish tone also carried over to implicit quotes on sovereign bonds, which earn $ 2 each. Thus, the parallel exchange rates abandon the offered trend that dominated December until now, in days when the Christmas bonuses are already beginning to be paid and in a political context convulsed by the rejection of the Chamber of Deputies to the draft Budget Law 2022 .

The free dollar again showed signs of life with a rise of $ 1.5 on the last day of the week. The currency thus echoes the government’s failed negotiations to gain support to approve the budget, a sign of the lack of political consensus necessary to close a key agreement with the IMF.

The dollar counted with clearance It goes up almost two pesos to trade at $ 205.41. The dollar MEP, a similar price but that is operated entirely in the local market, rises by the same amount and is at 195.36 pesos.

According to analysts and traders, the informal market and financial dollars are no longer experiencing the bearish forces that dominated in recent weeks. Days before the payment of bonuses and before tax due dates, employers and companies exchange dollars for pesos to meet these obligations and tend to depress the prices of parallel dollars.

“In relation to the recent decline in the dollar, we must not lose sight of the fact that this is due to merely seasonal factors. In December, the demand for money rises, more pesos are needed for expenses, taxes, companies pay bonuses, etc. Of course, there are other factors at play that could change things, such as, for example, the arrival of the long-awaited agreement with the International Monetary Fund (IMF), “he said. Emiliano Anselmi, PPI Macroeconomics Team Leader.

“However, a rate hike by the Central Bank is necessary. Yesterday, in fact, the agency as data decided to keep it. Consequently, even if it arrives on these days, it could be a delayed decision. Today is very negative and that was strengthening the dollar, “he added.

That force of the first half of December tends to be reversed now, when the pesos begin to reach the hands of the employees and part of them return to the different exchange markets, now on the demand side.

In the debt market, Argentine sovereign bonds fell and the country risk moved up. The indicator prepared by JP Morgan climbed to 1,712 points, 29 units more than yesterday.

For its part, the Buenos Aires stock market was operating with selective improvements on Friday, in a square that analyzes the consequences of the rejection of the 2022 budget presented by the Government to the Chamber of Deputies.

The leading index S&P Merval improved 0.54%, to 83,445.26 units, at 11.05 in the morning, after gaining 2.54% in the previous session.

“The rejection of the budget can complicate negotiations with the Fund (IMF). Now we must be attentive to the steps that the ruling party will take, “a stock trader told Reuters.

The treatment of the budget occurs at a time when the government of Peronist Alberto Fernández tries to reach a debt restructuring agreement with the IMF for about 45,000 million dollars.


The Budget and the “happiness sheets”: the Government added expenses to the initial project for $ 417,000 million
Bonus for retirees: the Government detailed who will receive the $ 8,000 this month
Uncontrolled issuance: the BCRA transferred $ 250,000 million in December and will end the year at $ 1.4 trillion

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