The positive reaction of the markets to Cristina's imprisonment and the economic measures

The measures taken by Economy Minister Luis Caputo and the confirmation of Cristina Kirchner's conviction in the Vialidad case - reported Tuesday afternoon in the media before the markets closed - acted as a catalyst for Argentine financial assets , which closed the day on the rise on both Wall Street and the local stock market.

In New York, Argentine company ADRs climbed sharply at the close yesterday: YPF rose 7.7% , followed by Telecom (+6.8%) and Banco Galicia (+6.1%). Sovereign bonds also advanced, with increases of up to 1.3%, while country risk fell 3.2%, breaking the 666 basis point mark.

In the local market, the Merval index rose 4.3% in pesos (2,202,667.32 points) and 4.7% in dollars, reaching 1,845.01 points.

Stock Market / Wall Street

Illustrative image

In addition to the political analysis, analysts highlighted the impact of the Central Bank's new measures, including the elimination of puts on government bonds held by banks; the reopening of the BOPREAL Series 4, focused on regularizing commercial debts and overdue dividend payments; the decision to cease issuing LEFIs as of July 10, and their exchange for more liquid instruments such as LECAPs.

“The Supreme Court’s decision, which could exclude Cristina Fernández de Kirchner (CFK) from the legislative race, was interpreted positively by investors ,” said Dante Ruggieri, partner at AT Inversiones, in a statement to Ámbito .

For his part, Juan Carlos Barboza, Research Manager at Mariva, analyzed that "the outcome of the CFK case could have a positive impact on Argentine risk in the medium term."

Javier Timerman, economist and partner at Adcap Grupo Financiero, expressed on the social network X that "the market and investors hate CFK. The market and investors hate Peronism. The market and investors currently only trust Milei."

Lucas Llach stated in X that "this helps a little to raise standards in politics. Now I hope several corrupt businessmen and unionists go to jail so we can build a real capitalism."

For Camilo Tiscornia of C&T Asesores, the court ruling is positive because " Kirchnerism is seen , within the political spectrum, as the most risky faction for the economic world, especially the financial one, and for businesses in general. And Cristina de Kirchner is the clearest representative of that faction."