Overview
- The official wholesale rate fell for a fourth day to AR$1,429.58, with the retail rate at Banco Nación at AR$1,455 and the wholesale level now more than 8% below the band ceiling.
- The Banco Central bought US$125 million on Friday, marking ten consecutive sessions of net purchases and lifting total buys to about US$687 million since January 5.
- Parallel and financial dollars were stable to lower, with the blue around AR$1,500 in Buenos Aires and AR$1,515 in Bahía Blanca, the MEP near AR$1,471, and the CCL near AR$1,518, while futures for late January through March priced lower.
- Gross reserves fell by US$39 million on the day, and the weekly increase was only about US$211 million as asset price moves and roughly US$200 million in multilateral debt payments offset interventions.
- Market focus remains on tight peso liquidity and high rates, with a recent Treasury auction rolling over about 98% after paying a premium and one-day peso rates hitting new highs for the year.