“Indeed, the CEDEARs are being affected by the decline in the implicit exchange rate, which is initially loosening after the results of the elections, this added to a Wall Street that starts the week more cautious after the last reading of the CPI last week “, said the economist Gustavo Ber, in dialogue with Ámbito.
The market analyst, Santiago LlullHe assured that “there was a lot of volatility in the markets today since it was started with an expectation that was not fulfilled, which was to bend the ruling party that, despite everything, seems to be successful.”
Regarding the exchange rate, in dialogue with Ámbito, he expressed the opinion that “There is a strong decision of the Government to lower it, especially in the informal dollar, in the intervention through bonds (local and international) generating today an exchange rate, in the case of the free CCL, around $ 208 (low last week’s $ 215.) This impact carries over to Cedears because it is no more and no less than a part of a stock that trades abroad. ”
Regarding the behavior of shares in foreign markets, Llull stated that “the US indices had a slight drop although nothing to do with the impact suffered by the Cedears today” and in this regard he exemplified “Apple suffered a 2.4% drop which is basically due to the exchange rate (the underlying asset has no variation)”. He also named the losses of Netflix of 3.6% or of Google with 3.4%, “Originally, they do not have this variation but it has to do with the exchange rate that falls in all its versions.”
For its part, Jose Bano, from Invertir On Line, explained the situation to investors: “The important thing to keep in mind is that when we talk about Cedears we are thinking of a dollarized portfolio. What matters to you is that it maintains or gains value in dollars. The exchange rate by which you multiply the dollar amount that each share is worth abroad to convert it into Cedears is volatile and changes and that is what is happening. Before these elections, if you bought a Cedears you were validating a dollar of $ 215. It was a question as to whether he was not too tall. Whoever operated today had a 7% loss in pesos but not necessarily had a bad result in dollars. “
Regarding the analysis of the evolution of the dollar, Bano, in dialogue with Ámbito, said: “The types of financial changes used to be one. Now that if you operate the AL30 or the GD30 you cannot operate the other for 30 days, this started to separate the markets The BCRA, in some cases very active, greatly influenced the exchange rate in bond operations. The MEP with the AL30 was worth $ 180 and with the GD30 $ 200. Today there was a path towards convergence. The MEP with the AL30 went up quite a bit, and went almost to $ 189 and the GD30 went down to $ 198. All implicit exchange rates are expected to converge to one exchange rate. Which? it is not clear but the $ 200 could be a convergence. It all depends on whether you are going to have an intervention or a regulation “.
Meanwhile, the New York Stock Exchange ended slightly lower on Monday, unable to maintain its initial momentum on a calm day ahead of a highly anticipated retail sales indicator on Tuesday. The Dow Jones closed with a marginal fall of 0.03% to 36,087.45 points, while the Nasdaq technology lost 0.04% to 15,853.84. The S&P 500 ended on its stable side at 4,682.80 points.