- Argentina: election surprise amplifies market and political risks
Argentina: election surprise amplifies market and political risks
Friday 23 August 2019
- Argentina’s primary elections: Opposition candidate Alberto Fernandez won by larger-than-expected margin against President Macri. At this point, markets price in Fernandez’s victory in October elections.
- Investment views on Argentina: The primary vote outcome was a negative surprise for the market. Argentine assets collapsed after Macri’s defeat. Argentina’s stock market index (the Merval index) fell by 48% in USD terms on Monday – the second biggest single-day fall of any stock market in the world, ever. Recent events, threatening the reform path and increasing the risk of debt restructuring, should lead investors to reconsider Argentina’s investment case. We have become much more cautious on the external debt, while we confirm our conviction that local currency debt is unattractive from a risk/return perspective.
The day after #5 - New Frontiers for Central Banks
For several years now we have argued that the social theme, and in particular the issue of social inequality, was becoming a major issue for various global economies and for investors, both institutional and retail.
Welcome to Amundi ExplainsWelcome to the first installment of our NEW weekly video guide called Amundi Explains series.
28th May 2020
International stock markets closed positive again yesterday, although Wall Street ended the day just shy of the day's highs and the S&P 500 index failed to close above the psychological threshold of 3,000 points.This was mostly due to the correction seen in technology stocks and online stocks in general, which have supported the market's recovery thus far.Conversely, the sectors that have suffered most in the pandemic, such as airlines, holiday and cruise companies, are making a comeback – although they do have a lower weight on the large indices.