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Despite the holiday in the United States, country risk continues to rise and marks a new high

Despite the holiday by the Thanksgiving Day in the United States, risk country it goes back up this Thursday. The indicator reaches a new maximum level for the last 14 months, that is, since Argentina closed the debt swap in September 2020.

This Thursday, the country risk sum 6 units and reaches 1822 points. Since STEP 2021, the JP Morgan index has risen more than 280 points. The strong rise is explained by the fall in the price of bonds in dollars. Since the price of a security is inversely proportional to its rate, the decrease in its value on the screens skyrocket yields and, with them, it boosts country risk.

Read also: Country risk: Argentina tops the ranking among 15 Latin American nations

What does country risk measure? The difference between rates of the sovereign bonds of each nation with respect to the yield that pays a security of the United States, considered free of risk.

An indicator in the area of ​​1800 points indicates that if the National State wanted to go out and issue debt in the international market, it would have to pay a rate higher than 18%. Experts indicate that the market is still waiting for the economic plan and, in addition, it has Doubts on Argentina’s possibilities of pay your debts.

How Argentine bonds and stocks move

In the local market, bonds Argentines in dollars show the majority of losses after the half wheel. The main fall is observed in the Global 2029 (GD29D), which lost 2.6%.

“The noises in the monetary, the gap at unsustainable levels (this week it exceeded 115%) and a Central bank short of foreign exchange it requires concrete economic measures. In this sense, although we left behind a new electoral process, the uncertainty it did not dissipate and the questions remain ”, analyzed a report from PPI.

Read also: The country risk rose 280 points from the PASO and experts point to the lack of clarity in Martín Guzmán’s project

On the side of the ActionsOn the other hand, the S&P Merval index, leader of the Buenos Aires market, advanced 0.9%. Without the reference of the international market, the papers take the opportunity to recover some of the ground lost in the last days.

After half of the day, the shares of Grupo Supervielle (2.3%), Central Puerto (1.5%) and Banco Macro (1.5%) registered the most important increases.

News that is being updated.

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