THE MINISTRY OF FINANCE ANNOUNCED the terms for Wednesday April 15’s debt auction, where it will face $8.3 trillion in maturities. On this occasion, it will offer a new LECAP maturing August 2026 (S18G6), along with a basket of CER instruments with maturities in September 2028 and March 2029 (TZXS8 and TZXM9), TAMAR-adjusted peso notes (TMF27 and TMG27), and a reopening of the dollar-linked bond maturing in June 2028 (TZV28). It will also provide a swap option for holders of TZXD6 and TZXM7, who will be able to convert into new TZXM8 bonds maturing in March 2028. Additionally, dual bond TTS26 will be converted into a new TAMAR note maturing in February 2028 (TMF28). Finally, Bonares AO27 and AO28 are again on offer. In a context of ample liquidity, the Treasury is likely to place debt above its maturities, as it has been doing in recent auctions.
PESO-DENOMINATED DEBT POSTED A MIXED PERFORMANCE, in a context where overnight rates remain around 20%, while TAMAR continues to decline, now at 22.8% NAR. The fixed-rate curve rose 0.7% and duals rose 0.6%, with their TAMAR breakeven approaching 22% NAR. Meanwhile, CER bonds rose 0.5%, while dollar-linked securities were the laggards, rising just 0.3% amid the decline in exchange rates.
DOLLAR-DENOMINATED BONDS POSTED ANOTHER POSITIVE SESSION, outperforming the broader emerging market debt complex, rising 1.1% overall. The long end of the local law curve led gains, advancing 1.4%, while Globals rose 0.9%. As a result, country risk continued to compress, settling at 528 bps. Bopreal bonds, by contrast, underperformed and fell 0.8%.
THE OFFICIAL EXCHANGE RATE FELL 0.8%, closing at $1,362.81, now 23% below the top of the band. Financial exchange rates followed suit, with both the MEP and the financial dollar falling 0.6%, closing at $1,403.4 and $1,468.7, respectively, while the spread between them remains at 4.7%. Meanwhile, the BCRA continued to buy in the official FX market, acquiring USD 112M on the session and accumulating USD 1,151M in April and USD 5,537M year-to-date. Gross reserves declined by USD 21M, closing at USD 45,410M.
THE MERVAL FELL 0.2% IN PESOS but rose 0.9% in dollar terms, closing at USD 2,048. Gains were led primarily by the energy and industrial sectors, while construction and financials underperformed. Among local equities, the top gainers were Transener (5.5%), Ternium (3.6%), and Sociedad Comercial del Plata (2.5%), while Banco Supervielle (-2.3%), Central Puerto (-2.3%), and Loma Negra (-2.1%) led declines. In New York-listed shares, the basket rose 1.0%, with Globant (7.8%), Bioceres (4.9%), and MercadoLibre (3.3%) as the top performers, while Central Puerto (-3.3%), Edenor (-1.9%), and Corpóración América (-1.1%) posted the largest losses.
