The Central Bank acquired USD 71 million for its reserves and reached 103 consecutive days of purchases

In a global context where market efficiency rewards models of freedom, Argentina experienced a financial day of clear recovery. International optimism, driven by a rebound on Wall Street after a previous session of volatility, served as a tailwind for Argentine bonds and stocks to reaffirm their upward trend. Under the leadership of President Javier Milei, the dollar score of the S&P Merval index has maintained a sustained rise since November 19, 2023, reflecting the end of political uncertainty and the beginning of an era of genuine growth.

The epicenter of this financial success lies in the impeccable management of reserves. The BCRA recorded a new victory today by acquiring USD 71 million in the foreign exchange market. This operation is not an isolated event, but part of a historic streak of 103 consecutive days of purchases, a milestone that has allowed the agency to not only strengthen the national balance but also “exceed the annual accumulation target of 10 billion dollars” much earlier than expected. This solvency has allowed the country risk of JP Morgan to continue its downward path, standing at 493 basis points, while sovereign bonds —Bonares and Globals— averaged a 0.1% increase.

In the local stock market, the S&P Merval index recorded a 0.9% increase to reach 3,112,024 points. This boost was led by the energy sector, benefiting from the rise in oil prices globally. Argentine ADRs in New York showed specific gains, particularly YPF (+0.1% to USD 53.54), Tenaris (+2.2%), and Pampa Energía (+0.7%). The technology stock market also contributed, with rebounds in giants like Nvidia (+1.7%) and Micron (+9.9%), reinforcing the investment opportunity in cutting-edge sectors under an economy that is reintegrating into the world.

Regarding price dynamics, economist Gustavo Ber highlighted the importance of inflation deceleration as a pillar of this process: “The inflation data from CABA (2.1% in May) opens positive expectations regarding the IPC continuing to reflect a deceleration that contributes to improving social expectations”. According to the expert, the goal is for the index to consistently remain below 2%, which, combined with financial calm, will allow for a real recomposition of incomes.

In the foreign exchange market, the currency operated with a controlled advance within the expected stability parameters. The wholesale dollar closed at $1,446.50, representing an increase of six pesos or 0.4%. At Banco Nación, the dollar rose to $1,465, while the BCRA firmly maintained its monetary policy by setting a ceiling for its exchange rate bands at $1,773.23, leaving the wholesale exchange rate at a prudent distance of 22.6% from that limit. The operator of ABC Mercado de Cambios, Nicolás Merino, detailed that: “The currency opened at $1,442 and for much of the session maintained the same dynamics observed throughout last week, with sustained demand continuing to pressure prices. However, the advance was more moderate than in previous sessions”.

Finally, the volume traded in the spot segment was USD 427.6 million, a figure that, although lower than the previous day, allowed the Central to continue strategically acquiring foreign currency. With a firm economic policy and strict adherence to fiscal and reserve targets, the government of Javier Milei consolidates a scenario of predictability that Argentina has not known for decades.