Argentina’s Merval closed higher on October 5 after losses in the previous week and in September. Energy shares advanced in Buenos Aires and New York, while dollar sovereign bonds also gained and the country-risk measure fell to 599 basis points. The rebound coincided with strong Brazilian markets; the wholesale dollar remained unchanged at 1,520 pesos.
Argentina’s S&P Merval, the benchmark for leading shares on the Buenos Aires exchange, closed October 5 at 2,869,488.06 points, up 3.68 per cent in pesos. The recovery followed a 4.4 per cent decline in the previous week and a 7.1 per cent fall during September. The session brought gains in Argentine shares both at home and in New York, where investors trade depositary receipts representing those companies’ stock.[1], [2]
Energy companies were prominent among the advancing shares. Transportadora de Gas del Sur rose 6.05 per cent locally and 6.28 per cent in New York. Central Puerto gained 5.28 per cent in Buenos Aires and 6.08 per cent abroad. Pampa Energía increased 3.27 per cent locally and 4.89 per cent in New York. These returns refer to different securities and trading venues, even when they represent the same company.[2]
YPF gained 2.24 per cent in Buenos Aires and 3.04 per cent in New York. Edenor advanced 3.90 per cent locally and 4.64 per cent abroad. The energy gains were uneven: Transener fell 1.10 per cent. The dollar-denominated Merval CCL measure ended at 1,782.44 dollars, up 4.47 per cent, alongside the separate peso benchmark. YPF closed at 8,230 pesos locally, and Edenor finished at 1,679 pesos.[2]
Argentina’s dollar sovereign bonds gained an average 2.1 per cent. JPMorgan’s country-risk measure, which compares sovereign yields with US Treasury yields, fell 49 basis points to 599 basis points. Brazil’s Bovespa rose 8.9 per cent on the same day; analysts linked the Brazilian reaction to the presidential election’s first round. In Argentina’s currency market, the wholesale dollar held at 1,520 pesos. The central bank bought 14 million dollars during the session after purchasing 369 million dollars in the preceding week.[1]
