The Buenos Aires stock market moves more attentive to Wall Street than to local social tension

The external front conditions to the local market. The main indicators of Wall Street opened this Thursday in redin the midst of new fears for the commercial war promoted by Donald Trump. Now, the president of the United States threatened to impose 200% tariff on wines and to the champagne “of France and other European countries” in retaliation for the imposition of a European tax of 50% to the American whiskey, which in turn is another average of commercial retaliation.

Of becoming effective, The measure would harm the sector of France, Spain and Italyand could lead to other reprisals from European in an escalation of unpredictable consequences. The New York bag had celebrated in the previous one a slowdown in inflation greater than expected by the market. In this context, The Argentine ADRs had come to jump more than 10%.

Now, with a new climate of global caution, Argentine roles moderate that rebound and fall to 2.4%. At the other extreme, the rise in Corporation America stands out, which advances 1.6%, after the news was known that the Eurnekian family, owner of the CGC oil company, has started the process to sell its 23.07% participation in the gas carrier $ TGNO4, in association with Tecpetrol, the oil arm of the Techint group.

Anyway, the local component has weight in the investment equation. In the City they believe that once the agreement with the IMF is confirmed, the government will begin to clear one of the greatest doubts Regarding the sustainability of your economic plan. And, despite the doubts about how the exchange program of progress in a scheme agreed with the background will be, the Treasury announced that the bonds tied to the devaluation (Dollar Linked) that were tendered this Wednesday did not find demand among the investors of the local debt market.

Yet, The Government needs to get Congress to approve DNU And that generates some uncertainty, in light of the events of these last days. “The Kirchner and left opposition showed the teeth again, possibly anticipating the debate for the DNU of the agreement with the IMF. Perhaps the treatment of the same in Congress is again a play of life or death for the ruling party, since the approval of the same would enable the doors to give a definitive solution to one of the great macroeconomic problems that still remain. A rejection would destabilize the economy and thus hit the president on the issue that has the greatest assessment in the people, “they warned in Delphos.