Weekly Reports

Price Administration is the Name of the Game

First week
of January 2021
Minister Guzmán's orthodox turn in early December crashed with politics. Since Cristina Kirchner's speech in La Plata, many things have changed in the government's economic approach. Perhaps the most important is the arsenal of tools to fight inflation. Now everything seems to rest on a price management system. Util...

How long will the exchange rate peace last?

Third week
of December 2020
When in the third week of October the blue-chip-swap FX approached 180 pesos and the parallel was worth ARS 195, it was not at all obvious that the foam would drop to ARS 140 and 150 respectively. Even though those values ​​were much higher than those of the exit of the convertibility, panic had seized the market. ...

A Small Turn Towards Orthodoxy…but with a Twist

First week
of November 2020
The minister of Economy, Martin Guzmán, announced this morning that he has no intention of asking the Central Bank for more help for the rest of 2020. He will turn to the market to get the money to finance capital and interest maturities and up to 10% more. If he were to get more money, he would reduce the debt with...

The Last Bullets

Fourth week
of October 2020
Minister Guzmán has been empowered to solve the “dollar dilemma”. The spread with the parallel dollar almost reached 150% last Friday. And even though the other spreads decreased, they only did so because there was moral suasion on stockbrokers, something that has artificially reduced demand, a trend that seems to b...

The Government Runs Behind the Exchange Crisis

Third week
of October 2020
Last week, there were both monetary policies and declarations: on one hand, minister Guzmán hinted at the outlines to an arrangement with the IMF in his speech at the IDEA forum. An agenda to lower the deficit to zero and impose limits on the Central Bank’s financing of the Treasury, which are both pillars of what s...