With a glance to more long term, we noticed that the strong deceleration in the growth of its different components reflects the fall of the demand of weights. The economy that demanded weights to realise transactions is becoming slowly an economy that does not want to see the currency emitted by the BCRA but rather looks for refuge in alternative values. However, before a fall of the demand of the local currency, the theory would indicate that if the interest rates are increased it could stimulate the possession of weights, as long as their yields surpass the awaited devaluation. For which today the interest rates do not give the jumps to which they had to us customary in last in excess ones against the dollar? The increasing stock of money hoarded by the banks allows to respond them to the retirements, although that situation could not be maintained to medium term. Jr. may also support this cause. The pressure is so strong that the Power station takes sold USD 2.677 million in the market spot, although the reserves still do not show a fall by the compensation that give the other accounts of the monetary organization.
So it is the force of the demand of dollars that the BCRA is breaking an ominous record: with the sale of day 3 of March, they added the 29 days of sales consecutive. In order to try to relax this tense market, the efforts of the BCRA also are reflected in swap USD financier 10,000 million with the Central bank of China. It is to hope that this situation is deepened, in case of maintaining the uncertainty as far as the local economic policy. SOURCE: abeceb.com Original author and source of the article..