Argentina curbs banks' access to pesos amid growing market turmoil

BUENOS AIRES: Argentina's battered bonds and currency were driven still lower on Friday amid downgrades by three credit rating agencies and a new measure the central bank said was designed to"avoid any lack of money" and safeguard the liquidity of the country's financial system.

In a follow-up statement, the bank said the measure was aimed at ensuring the liquidity of the financial system, so that depositors can withdraw money when needed. U.S.-traded shares of financial services company Grupo Supervielle extended steep losses late in the New York session to fall 8.6per cent while Grupo Financiero Galicia closed 8.9per cent lower. Banco Macro lost 6.3per cent.The latest round of market tumult to plague Argentina started with the Aug. 11 primary election, in which business-friendly President Mauricio Macri got soundly thumped by center-left Peronist challenger Alberto Fernandez.

That resulted in an overnight 'D' rating on the short-term debt and a"selective default" for the long-term. S&P on Friday lifted the long-term rating to 'CCC-' and the short-term to 'C'. Argentina's"Century Bond" maturing in 2117 briefly traded at a record low below 38 cents on the dollar, according to MarketAxess, showing the kind of write-down markets are now bracing for.

It spent US$367 million in interventions on Wednesday and US$223 million on Thursday in its effort to defend the peso.

Россия Последние новости, Россия Последние новости

Similar News:Вы также можете прочитать подобные новости, которые мы собрали из других источников новостей

Singapore stocks: STI resumes Friday afternoon at 3,105.29, up 0.76% on daySINGAPORE shares maintained their momentum at the start of Friday's afternoon session after positive signals from the United States and China over trade, with the Straits Times Index gaining 0.76 per cent or 23.46 points on the day to 3,105.29 as at 1.04pm. Read more at The Business Times.
Источник: BusinessTimes - 🏆 15. / 51 Прочитайте больше »

China's banks face earnings squeeze amid rate reform, trade war gloomChina's banks face pressure on earnings and asset quality in the coming months as interest rate reforms squeeze margins and a Sino-US trade war ...
Источник: ChannelNewsAsia - 🏆 6. / 66 Прочитайте больше »