Why Argentine Stocks Are Hopping Today
Down one day and up the next -- depending on how the political winds are blowing -- Argentine stocks continued their recent uptrend Thursday with shares of electric utilities Central Puerto (NYSE: CEPU) and Pampa Energia (NYSE: PAM), up 11.4% and 13.6%, respectively, joining financial company Grupo Supervielle (NYSE: SUPV), which is also up 13.6%, as of 2:50 p.m. EDT.
Why are the stocks moving higher? It's not because President Mauricio Macri's chances of winning re-election have improved. And the Argentine economy doesn't look much healthier this week than it did last week.
To the contrary, one holder of Argentine bonds, asked to comment by London's Financial Times yesterday, grumbled that investors in the country still have "no clarity" on what's going on with the country's negotiations with the International Monetary Fund (IMF) regarding a bailout, and commented: "Taking a stance [on Argentine investments] at this point is stupid."
Source Fool.com
