The gradual upward trend that US interest rates they decided in one strengthening the dollar North American against most currencies in new countries. For the Argentine peso, it appreciation of the exchange rate was overwhelmingbecause it was promoted by the major imbalances in the domestic economy.
From the end of the end, the year 2018 was a historic devaluation, the largest in 16 years since the traumatic outflow of convertibility in 2002. Argentine peso fell 50.6% against the dollar, that is, in our foreign exchange market it US currency doubled its value.
When analyzing Dollar Index (DXY), financial indicator composed of a weighted average of the value of the dollar North American compared to other currencies, it is noted that in 96.2 it reflects thatdollar increase of 3.9% in the last year.
A report from Personal portfolio investments He pointed out that "the North American currency appreciated not only its developed counterparts but also new currencies. Euro (USD 1,147) and The weight (USD 1,269) they weakened by 4.5% and 6.1% respectively".
"But currencies Emerging countries took the worst part, especially those with low finances significant external and fiscal imbalances"Added Portfolio Staff.
This negative ranking peaked Argentine Peso (-50.5%), Turkish Lira (-28%), the Russian ruble (-17.1%), the Brazilian Real (-14.5%) and the South African rand (-13.8%).
The effects of "running to the dollar"
the skip the exchange rate during 2018 he exercised one strong upward pressure on prices internal goods, especially merchandise. The general inflation in Argentina will round one increase close to 48% accumulated for twelve months.
In the same direction is the devaluation of the currency killed the fall in financial assets, with actions on average they reduced their value by half measures in dollars while prices on bonds negotiated in the electronic open market (MAE) minus 20.7% on average during the last year.
A report from Ecolatina He mentioned that "The significant foreign exchange reserves who marked the Argentine economy in 2017 was persistent in the constant influx of financial dollars. Since they were not guaranteed, their generalized and sudden turn caused a currency exchange ".
The value of the dollar in the city accumulated an increase of over 40% in the third quarter, from less than 29 pesos at the end of June to the end of June. record on 28 September past, with a closure $ 41.85 for the public and $ 41.25 for the wholesale market.
"In that sense is important reduction of the LEBAC file and its replacement with less liquid assets and without a secondary market (LELIQ), a very astringent monetary policy and the bigger rules for the banks' hard currency holdings, prevented this bleeding from recurring in the fourth quarter"Ecolatina stressed.
In fact with the arrival of Guido Sandleris to the presidency of the central bank the dollar fell 7.2% in the last quarter of the year, from the record values.