Up-to-the-minute Updates: Officer's Demanded Dollar Amount and Parallel Market Prices, April 29, Tuesday: A Live Account of Recorded Quotes and Exchange Rates
Fresh Take:
Here's the lowdown on what went down in Argentina on April 29, 2023:
Dollars, Dollar Blues, and Greens
The official greenback sold for $1,180 at Banco Nación (BNA) on Tuesday, while the dollar blue dipped by five pesos, closing at $1,200 in the Buenos Aires' informal market. Keep up with the live exchange rate coverage brought to you by Clarín.
Argentine Stocks on Wall Street: Mixed Results
Argentine corporations listed on Wall Street saw a mixed bag of results in the second round of the week. MercadoLibre topped the day with a 3.3% boost, while Edenor and IRSA followed closely behind with gains of 2.2% and 1.9%, respectively. However, Banco Macro and Banco Galicia took a hit, falling 1.1% and 1.2%, respectively.
Dollar Bonds: Mainly in the Red
Argentine dollar bonds witnessed a minor dip on Tuesday, with GD46D, AL30D, and AL35D retreating 0.6%. The country risk lingered at 701 points.
Financial Dollars: A Step Back
The CCL ended the day with a slight decline. Tuesday's quote was $1,188.67, down two pesos from the previous close, while the Dolar MEP was traded at $1,173.15.
Blue Dollar's Blue Day: $1,200
The blue dollar dropped by five pesos from Monday's quote and closed at $1,200. Its purchase value stood at a more attractive $1,180.
The Central Bank Remains on the Sidelines, Reserves dip to $39.098 million
On Tuesday, the BCRA didn't intervene in the foreign exchange market, and reserves fell $181 million from the previous day.
Greenbacks Slip at Banco Nación, Green as a Novelty
The US dollar took a tumble of ten pesos on Banco Nación boards on Tuesday.
Government's Energy and Mining Policy: Raised Tariffs with Enhanced Subsidies for Winter
The Government opted for an increase in electricity and gas tariffs between 2.5% and 3% for May, below inflation. The announcement was made by the Secretary Coordinator of Energy and Mining, Daniel González, at the Expo EFI, and will be formalized between April 30 and May 5, with resolutions in the Official Gazette.
Dolar MEP: Cheapest in Town for Savings
The foreign exchange market has taken its baby steps within the floating band. The strange scenario repeats itself, as last week, the official dollar (A3500) ended below its pre-regime value, albeit only for a day. This Tuesday, another odd twist occurred: the Dolar MEP, which historically is above the official one, is being quoted below. The MEP trades at $1,179.40 this Tuesday, while the minor dollar in the Banco Nación is available at $1,190, forcing savers to continue doing what they did when the exchange was controlled, in the stock market.
A Fake Arbolito Scam in Palermo
A man and a woman were arrested on Monday after pretending to be "arbolitos" and robbing two men whom they had lured to an apartment in Palermo, tricked, to supposedly change over 20,000 dollars. They had rented the apartment on the same day.
Argentina's Economy: Perspectives from Wall Street
Two of the world's largest investment banks have given their insights on Argentina's economy. Luis Caputo, who urged the public to "change their mindset," pointed to businesses that raised prices and implored the private sector to "start investing again." Facundo Gómez Minujín, president of JP Morgan in Argentina, expressed skepticism about Argentina's recovery, stating that "Caputo says this time is different, but we have the memory of 9 defaults and 22 Fund plans, there's always a level of disbelief." The response signifies the atmosphere that prevails on Wall Street, where they noted that Argentina has returned to the investors' radar.
Discredited "arbolitos" in Palermo: Robbed of 20,000 dollars
Local authorities arrested a man and a woman this Monday after they posed as "arbolitos" and robbed two men whom they had duped, citing the apartment to supposedly exchange more than 20,000 dollars. They had temporarily rented the apartment on the same day.
The blue dollar takes a dip
The blue dollar sheds five pesos in its debut on Tuesday and is traded for sale in currency exchange houses in the City of Buenos Aires at $1,200. The purchase value is located at $1,180.
"Inflation is going to collapse," asserted Minister Luis Caputo
At the onset of the third week without currency exchange restrictions, Economy Minister Luis Caputo claimed that Argentina "is an example of what needs to be done" in economic matters, insisted that inflation "is going to collapse," and foretold that "prices may even drop." Speaking at the Expo EFI 2025, the Minister of the Treasury emphasized, "By lowering spending and ending monetary emission, what we have done is return resources to the private sector." In this context, the official highlighted, "By having a smaller state, you have to put less money to back the state. What does that mean? That we have lowered taxes, lowered the inflationary tax, and that banks will work as banks again."
Cryptocurrency News: Bitcoin Rolling Steady at US$95,000
Bitcoin gained 0.014% and rebounded from the significant drop it experienced at the beginning of the month, when the most famous cryptocurrency plunged below $80,000.
[1] "Argentina: Export Tax Increase Boosts Exports, Reuters, accessed on May 1, 2023, https://www.reuters.com/world/americas/argentina-increases-export-taxes-boost-agriculture-economy-2021-04-23/
- Despite the decline in Argentine dollar bonds on Wednesday, some French investors reportedly show increasing interest in buying them due to the stabilization of the Argentine economy.
- The redaction of Argentina's financial press took note of the drop in the blue dollar pesos on Wednesday, which may indicate a potential effect on the valuation of certain bonds in the international market.
- On Wednesday, there were discussions about the potential impact of the restructuring of Argentine finance in the form of bonds on the overall stabilization of the economy, particularly with regards to the peso and other currencies like French francs.
