US stocks trim weekly gain; in LatAm he led the Merval

Good afternoon! Arrival Line brings you the daily summary of the closing of the markets

πŸ—½ On the streets of Wall Street:

US stocks ended the week cutting their gains. Stocks faded in the final minutes of trading on Friday, while Treasuries fell after declines triggered by the Federal Reserve’s plan to further tighten monetary policy.

The S&P 500 fell 0.27%, taking its weekly decline to 1.3%, while the Nasdaq Composite (CCMPDL) yielded 1.34% and the tech-heavy Nasdaq 100 had its worst weekly performance since mid-March. On the other hand, and breaking away from losses, the Dow Jones Industrial gained 0.40%.

β€œThe Fed intends to curb inflation without causing a recession; investors are skeptical, but we expect inflation to moderate later this year, which will bring the (low-rate supporters) doves back,” Ed Yardeni, president of Yardeni Research, said in a note to Bloomberg.

πŸ”‘ Keys of the day:

The oil fell for the second week in a row losing most of the war-driven gains in Ukraine after the United States and its allies announced plans to release a surge of oil from strategic reserves to ease rising fuel costs.

Crude prices have been hurt after demand in China weakened due to a new outbreak of Covid-19; and that the US Federal Reserve’s plans to tighten monetary policy to combat inflation curbed demand for risky assets.

West Texas Intermediate (WTI) fell 1% this week and gave up most of its gains since Russia invaded Ukraine in late February.

β€œThe second weekly decline in oil prices has eased some of the pressures on the global economy, thanks to a combination of factors including huge oil stock releases and Chinese lockdowns. Even so, prices are very high, around US$100 per barrel, and there remain significant upside risks going forward.”said Edward Moya, an analyst at Oanda.

As for the daily shift, WTI for May delivery rose $2.23 to settle at $98.26 a barrel in New York. While Brent for June delivery rose US$2.20 to US$102.78 per barrel.

LatAm Markets

πŸ₯‡ The leader:

The Argentine Merval Index (MERVAL) it once again had the best performance in the region and stood out with an increase of 0.58%. The shares of Mirgor Sacifia (MIRG) and Banco Macro SA (BMA) were among those that registered the most increases.

The chilean bag (HERE)for his part, he won 0.09%driven by the information technology, industry, energy and basic consumer goods sectors.

πŸ“‰ A bad day:

The Peruvian stock market was the one that fell the most on Friday, among the main stock market indices in Latin America. The S&P BVL Peru (SPBLPGPT) lost 1.57%. The financials, consumer staples and utilities sectors were the hardest hit during the day.

The S&P BMV/IPC (MEXBOL) of Mexico also fell, yielding 1.07% dragged down by the industrial, finance and materials sectors. Just like him Ibovespa (IBOV)the main indicator of the Brazilian stock market, the largest by market capitalization in Latin America, which lost 0.45%. The non-staple consumer goods, real estate and materials sectors led the drop.

🍝The fact for dinner:

The global food index reached its highest level in more than 30 years. For the third consecutive time, food prices reached their highest historical value since the index prepared by the Food and Agriculture Organization of the United Nations (FAO) exists. This registry was created in 1990.

On this occasion, groceries had an increase of 33.6% in relation to March 2021, which marks the greatest acceleration in the last 14 years. Likewise, the index rose 12.6% compared to February this year, to stand at a value of 159.3 points.

Russia’s invasion of Ukraine has had a direct impact on the value of raw materials, according to the agency. The FAO Cereal Price Index showed a value 17.1% higher in March than in February, driven by large increases in the prices of wheat and all cereals secondary, largely as a result of the war in Ukraine, details the official report.

It is worth noting that Russia and Ukraine together accounted for about 30% and 20% of world exports of wheat and corn, respectively, during the last three years.

These were the most important news from Latin America:

Argentina:

Brazil:

Chili:

Colombia:

Ecuador:

Guatemala:

Mexico:

Panama:

  • A citizen proposal aimed at reducing the working day from five to four days, in response to high fuel prices, is beginning to stir up debate in Panama. The initiative seeks to work two additional hours during the four days a week to complete the 40 hours and have an additional day off, which can be Friday or Monday, which would translate into a weekly reduction of 20% in the cost of the fuel.

Peru:

Dominican Republic:

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