UPDATE 3-Argentine assets up on surprise gains for pro-business candidate

lunes 26 de octubre de 2015 13:13 GYT
 

(Adds Argentine ETFs, bank stocks up)

LONDON Oct 26 (Reuters) - Argentina's financial markets opened higher on Monday after pro-business Conservative opposition candidate Mauricio Macri's surprisingly strong showing in presidential elections set up a second vote next month.

Movements in Argentina's official peso rate are restricted by various capital controls, but two of its main internationally traded bonds jumped to record or near record highs.

Argentine exchange-traded funds (ETFs) in the United States were up almost 10 percent in early afternoon trading, with the Global X MSCI Argentina ETF up 5.7 percent, its highest level since mid-July.

Argentine U.S.-traded bank stocks also rose, with Banco Macro up 19 percent, Grupo Financiero Galicia up 12 percent and YPF SA up 7 percent. The YPF 10-year bond was up more than 4 percent, its biggest daily jump since mid-December 2014.

The country's defaulted dollar Discount bonds, which mature in 2033, rose 3.48 points in price to a bid price of 108.586, yielding 7.296 percent on Monday morning, according to Reuters data.

They led a broad rally across Argentine assets, with the price of the euro-denominated 2038 par bond up 0.965 points in price to 61.965, yielding 7.436 percent.

With almost 97 percent of polling stations declared, Macri - the pro-business mayor of Buenos Aires - had won 34.4 percent of the vote, enough to prevent the candidate of Argentina's ruling party, Daniel Scioli, from claiming an outright victory.

To win the Nov. 22 run-off, Scioli, who is backed by outgoing leftist President Cristina Fernandez, will need to court supporters of third-placed candidate Sergio Massa, a moderate lawmaker.   Continuación...