BCRA traded US$121 million on the market and ended the week with a neutral balance for the first time in the Milei era.

In a $320.3 million wholesale business deal The Central Bank completed the intervention with sales of US$121 million. in the cash segment. On that day, payment was made for the import of energy resources from Paraguay in the amount of about $100 million, which affected the official result on the stock market.

In the weekly balance sheet, the monetary enterprise ended with neutral balanceafter sales on Monday and Tuesday – $9 million and $31 million, respectively, purchases on Wednesday and Thursday – $24 million and $137 million – and sales this Friday.

During June BCRA procurement balance reaches approximately US$99 million., the seventh month in a row with a positive balance thanks to participation in the exchange. The Central Bank has accumulated net purchases on the foreign exchange market of $17.385 million since December 11 last year, when the government Javier Miley.

On the other side, Booking Gross international deduction 107 million, from US$29,166 million. During the week, these assets fell by US$131 million compared to US$29,297 million on Friday the 7th. Thanks to the management of La Libertad Avanza, reported shares increased by US$7,957 million, or 37.5%, from US$21,209 million as of December 7, 2023. .

Report SBS Group indicated that “export settlement flows will be closely monitored, given their impact on monetary settlements and the subsequent impact on other macroeconomic variables, in a context in which cuts in nominal rates have reduced the attractiveness of carryor controlled devaluation.

This week, the central bank said it would resume the currency swap section with the People’s Bank of China, avoiding the payment of US$5 billion (equivalent to 35 billion yuan) under the used section of that currency swap agreement between both countries.

After twelve months of no payout, the BCRA will begin to gradually reduce the activated swap amount beginning in June 2025 until deactivating this section in mid-2026. Thus, the extension will be in general. a two-year period, of which the first year will be a grace period.

“The second half of the year is very difficult in terms of payments that the country will have to endure. I believe that Argentina’s Achilles heel is not financial, but willingness to pay. This is because Argentina needs more dollars. The situation is better, but we are still weak,” he said. Miguel Kigeldirector of Econviews.

On the other hand, in the last few hours the approval of the current eighth review of the Advanced Facilities Program with IMF (International Monetary Fund), which authorizes the payment of 600 million SDR (Special Drawing Rights), equivalent to approximately US$790 millionwhich exceeds the next IMF amortization of approximately US$645 million in July.

“The lack of definition of the monetary regime to which it amounts to in the vaguely announced second stage of the program – the dynamics of the transition process from the first to the second stage is completely undefined – reduces expectations of a rapid and important investment flow into Argentina is a long-term commitment, in addition to what arises as a result shopping for second-hand goods,” he said. Juan Luis Boer Chief Economist of FIEL (Latin American Foundation for Economic Research).

“Without voluntary lending and limited or no net capital inflows, any forecast for an expansive second half of the year sounds too speculative,” Boer said.

“The outlook is that the government must adapt its plans by allowing more devaluation and inflation, as well as higher interest rates, to at best achieve improvement by managing the situation,” he said in the report. VatNet Financial Research. “If they don’t see that kind of reaction, the situation could become very difficult,” he said.