Tuesday, November 5, 2024

Markets: Dollar bonds fall on Wall Street and country risk exceeds 2,500 points

Must Read
Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, US, March 23, 2023. REUTERS/Brendan McDiarmid

While there are no financial operations in Argentina this Friday, due to the celebration of Memory Day, Wall Street performs normally, down 0.5% in its main indicators.

The international downtrend is particularly affecting bank stocks, which have also been falling sharply in Europe, especially those heavyweights. Deutsche Bank And UPS Group, which has been driven by fears that the sector’s worst problems since the 2008 financial crisis are not yet contained.

Signs of financial market stress again raised alarm bells more broadly, as the euro fell against the dollar and bond yields fell.

Within this framework, ADRs and shares of Argentine companies traded in New York dollars are doing mixed. the Edinur Falls and Tenaris by 2 percent.

Stock markets penalize Deutsche Bank and UBS for fear of financial instability

Argentina’s sovereign debt is the most affected, both because of its own fundamentals and because of renewed external fluctuations. Global Exchange bonds – in dollars with foreign law, are losing 1.6% on average, to accumulate over the course of the week a decline of nearly 7%.

In this sense, the danger country From JP Morgan, which measures the gap in US Treasury rates with its emerging peers, up 40 units for Argentina, to 2541 points 11:50 a.m., at the latest since last November 7.

See also  These are the countries that pay the least for Netflix

Actions Deutsche Bank And they fell for the third day in a row, falling 14% this session after a sharp rise in the cost of insuring their bonds against the risk of default.

Shares of Germany’s largest bank have lost a fifth of their value so far this month and its credit default swaps (CDS) – a form of insurance for bond investors – suffered the biggest rise Thursday in a day on record, according to data from Refinitiv.

“Deutsche Bank has been in the spotlight for a while, as has Credit Suisse,” he said. Stewartcall, chief macroeconomist at Equiti Capital. “It has gone through several restructurings and leadership changes trying to get back to a strong position, but so far none of those efforts seem to have really worked,” he said.

“We’re still hanging around waiting for another domino to fall, and Deutsche is clearly next on everyone’s mind (fairly or unfairly),” he said. Reuters Chris BeauchampSenior Market Analyst at IG.

Argentina dollar bonds record weekly decline of nearly 7%

The declines in European banking stocks follow Thursday’s losses in the United States, as investors watch how far authorities will go to support the sector, especially fragile regional banks.

For the fourth time during the week of the US Treasury Secretary, Janet Yellenwith the aim of reassuring Americans about the soundness of the American banking system.

Read on:

The decline in financial dollars was accompanied by another drop, which is the drop in foreign currency bonds
Exchange gap: The difference between the official dollar and other rates is at its lowest level since July 2022
Massa breathes in because of the dollar’s decline and joins Alberto’s meeting with Joe Biden in Washington
IMF analyzes bond swaps: “We are aware of the decision and are evaluating it”
Latest News

Fast, Private No-Verification Casinos in New Zealand: Insights from Pettie Iv

The world of online gambling has come a long way since its inception, and New Zealand has been no...

More Articles Like This