Argentina under pressure; Jordan better; investors eye week of potential market catalysts

By Rebecca Melvin

New York, June 11 – Argentina’s bonds were under pressure on Monday as the Argentine peso resumed a weeks-long slide following news on Friday that the country inked a larger-than-expected credit line with the International Monetary Fund for $50 billion.

The longer-end of Argentina’s sovereign bond curve was down a point on average on Monday, while the shorter-end of the curve was down ¼ point to ½ point, a New York-based trader said.

One of the issues in focus was Argentina’s 7 5/8% note due 2046, which was down by a point to 91.30, the trader said.

Argentina’s 7 1/8% notes due 2117, or the century bond, was also down a point; to 85¾ bid, 86¼ offered.

Argentina’s new 2028 notes were down ½ point to 88¾, while the Argentina 2021 notes were down only 35 cents.

Bonds from Argentina’s neighbor Brazil were down on Monday as well. But the bonds of the Hashemite Kingdom of Jordan were stronger after news that Saudi Arabia and its Gulf allies have promised $2.5 billion in support of Jordan’s monarchy after a wave of mass protests over high unemployment, rising prices and plans to broaden the income tax base were threatening the stability of the country.

The Jordan 7 3/8% notes due 2047 were up more than a point at 92.67.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.