Despite the relief of the goals with the IMF, the Central Bank had to sell US$ 145 million

The day after the easing of the reserve goals with the Monetary Fund became official, the Central Bank had to go out and sell

to supply the market demand.

So far in March, it has already lost

The loss of foreign currency amid the ferocious impact of the drought is one of the central concerns of both the government and the International Monetary Fund.

Yesterday the agency announced that the reserve accumulation targets will be reduced, which were to reach US$7.7 billion by the 31st of this month, when today they are around US$4 billion.

Although this relaxation of the goals was a relief for the Government, it does not change the underlying issue, which is the lack of foreign currency.

So far this year, the liquidation of agriculture has been reduced due to the drought, and

Within this framework, the exchange market remains stable.

the same price at which it closed yesterday after a rebound of four pesos.

For its part, financial dollars hardly move.

The MEP traded on the Buenos Aires stock market fell 0.5% to

, while cash with liquidity, the channel through which companies are dollarized, fell 0.1% to

For its part, the wholesale exchange rate opened with a rise of ten cents that took it to $202.25, but around noon it settled at

This brings the gap with the blue dollar to 87%.

end to the intervention

​Yesterday when the easing of the reserve accumulation goals with the Monetary Fund was officially presented, it was also known that as part of the agreement, the Government agreed to stop using the reserves to intervene in the parallel dollar market. 

In the new agreement, the authorities commit to "

."

"This is quite a novelty, since although the market view was that the repurchase of Treasury debt had the sole purpose of supporting the dollar parities of the Globals in order to contain financial dollars, it was never recognized, not even by the Argentine government or by the organization itself," said Portfolio Personal Inversiones (PPI).

And they clarify that in fact the Government had already stopped intervening to prevent financial dollars from escaping.

"The drop in reserves for "Other Operations with the Public Sector"

since then. Not coincidentally, the CCL rebounded from $366 to $394 (7.7%) between 02/28 and yesterday".

"It seems reasonable that, in this dramatic context of shortage of reserves, the IMF has asked for the end of parallel intervention in exchange for modifying the target. As a corollary, we understand that basically this does not modify anything other than practically guaranteeing disbursements from now until the change of government", points out PPI.

At the same time, they warn that "

. The stock is tiny (US$4,000 million under the IMF metric and US$1,600 million if the DEGs are actually accounted for in the portfolio) and the flux plays against like almost never".

"Unlike previous years, the drought (which may still imply further production cuts) will prevent a significant jump in the liquidation of agriculture from April, guaranteeing

", concludes PPI.

AQ

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