Overview
- The Finance Secretariat placed ARS 6.867 trillion, renewing about 57% of maturities and leaving roughly ARS 4.5 trillion set to flow into the market later this week, according to analysts.
- Investor demand concentrated in short-dated fixed-rate bills due in late November and January, with effective monthly yields near 3.09% and 2.9%, lower than prior auctions but still high in real terms.
- Two newly offered dollar-linked letters received minimal bids and were declared unsold, signaling weak appetite for fresh FX-linked exposure at the proposed terms.
- Pre-auction moves included a rare central-bank swap with banks and Treasury repurchases of LECAPs, which reduced immediate rollover needs and injected pesos; longer-dated Boncap paper returned with limited interest around 2.55%.
- Market commentators say the outcome underscores very tight liquidity conditions and suggest scope for relief if the BCRA relaxes reserve requirements, with debate over whether authorities will withdraw or validate the pending liquidity injection.