Friday , May 7 2021

BCRA took the dollar to a low level for a new rate cut



On Central Bank an auction on Monday $ 160,231 million in letters of liquidity (LELIQ) with an average yield of low to 60,278% per annum. The maximum granted in the seven-day letters was 60.49 percent.

The current reference rate is the smallest of this instrument was used for the first time the absorption of liquidity solely for the banks on October 1st. In a similar operation Thursday, the monetary authority approved an average cutting rate of 60.753% and a maximum rate of 61.026%.

Argentina's financial markets remain closed on Friday for the summit Group of 20 (G-20), which gathered the major economies of the world in Buenos Aires.

"The increase in BM [base monetaria] compared to October, was explained by an increase of $ 15 billion in unpaid foreign exchange reserves, partially offset by a drop in the monetary circulation of $ 11 billion, "the document said today by the Center today.

Faced with maturing day by $ 134.844 million, the monetary authorities raised $ 25.382 million for that day. The entity is absorbed via LELIQ 326.917 million dollars from the beginning of October.

BCRA's monetary policy committee is studying possibility to eliminate the floor of 60% determined for the rates until the end of the year, a commitment taken before the board of the International Monetary Fund (IMF).


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