Key Facts
- The Merval climbed 1.36% to 3,075,981.76 points, closing near the top of the day’s range as buyers returned after a thin Monday session.
- The peso held steady at ARS 1,512 per US dollar in the wholesale market, with the parallel rate at 1,545.
- Banco Macro led the domestic board with a 2.4% gain, while Pampa Energía added 2.0% as the Milei reform trade stayed intact.
- The index sits about 9% below its 52-week high a level traders are watching as a potential break-out zone if inflation continues to cool.
- Buenos Aires city inflation slowed sharply to 1.7% in August from 2.9%, feeding hopes that the national print due Thursday will keep easing.
Today’s Focus
Argentina’s S&P Merval — the main stock index quoted in pesos — rose 1.36% on Tuesday, closing at 3,075,981.76 points. The gain came with the wholesale peso at about 1,512 per US dollar, up 50 centavos, and the parallel rate unchanged at 1,545.
Banking and energy names did the heavy lifting. Banco Macro, Argentina’s largest domestically owned bank, added 2.4%, while Pampa Energía, a power and gas group, rose 2.0%.
The backdrop is the Milei reform trade: investors betting that a shrinking state, fiscal surplus and falling inflation will lift Argentine assets. Tuesday’s session got a helping hand from news that Buenos Aires city inflation slowed to 1.7% in August from 2.9% a month earlier.
The market closed near the high of the day, suggesting buyers were still arriving into the close rather than taking profits.
What matters today. The rally is being driven by falling inflation expectations and a stable peso, which together keep the reform trade alive even as the index sits below its 52-week high.
01 The session in one read
Argentina’s S&P Merval — the main stock index quoted in pesos — rose 1.36% on Tuesday, closing at 3,075,981.76 points. That extends the recovery from a thin Monday session, when the index had slipped about half a per cent.
The wholesale peso ended at ARS 1,512 per US dollar, weaker by 50 centavos, while the parallel rate held at 1,545. The central bank bought US$20 million and reserves stood at US$50.732 billion. A stable peso matters here because it underpins the case for holding peso-denominated stocks.
The day’s buying clustered around banks and energy. Banco Macro, Argentina’s largest locally owned bank, added 2.4%, while Pampa Energía, a power and gas group, rose 2.0%.
The mood was helped by fresh evidence that inflation is cooling fast. Buenos Aires city consumer prices rose just 1.7% in August, down from 2.9% in July — a preview of the national figure due Thursday.
The evidence points to a market that is climbing on domestic fundamentals rather than external support. US equities fell on Tuesday — the S&P 500 lost 0.58% — yet the Merval rose, suggesting local drivers are in charge. The main variable to watch is Thursday’s national inflation print: a figure at or below the 1.7% expected would likely reinforce the rally, while a surprise to the upside could test the peso’s stability and the market’s patience. A secondary watch is the index’s distance from its 52-week high, still around 9% below, which may act as a magnet if inflation keeps easing.
02 The day’s numbers
| Measure | Level | Change | Read |
|---|---|---|---|
| S&P Merval | 3,075,982 | +1.36% | Banks and energy lead; close near session high |
| USD/ARS | 1,512 | 0.00% | Peso steady, near 52-week high |
| S&P 500 | 7,674 | −0.58% | US stocks dipped; local drivers dominated |
| VIX | 15.72 | +2.75% | US volatility edged up |
| US 10Y yield | 4.794% | +0.10% | Rates firm but no drag on Merval |
The Merval’s close at 3,075,982 points left it about 9% below its 52-week high. The index finished near the top of Tuesday’s range — roughly 84% of the day’s span — which is a sign of buying pressure into the close.
The peso’s near-flat finish at 1,512 per dollar stands out because it barely moved even as the US dollar index slipped 0.41% against major currencies. In Argentina, the peso trades within a controlled band rather than floating freely. Rio Times · Live Market Intelligence
Live Market IntelligenceArgentina — Live Market Board
Argentina — Live Market Board
Instrument Last Change YoY Prev. High Low Volume
MERVAL
2,848,945
—
-10.97%
2,859,051
—
—
—
USD/ARS
1,545
-0.03%
+8.82%
1,546
1,545
1,545
—
YPF
6,505
+0.46%
+15.44%
6,475
6,675
6,360
708,971
GGAL
4,950
-0.95%
-40.39%
4,998
5,140
4,933
548,462
PAMPA
4,290
+0.29%
-17.29%
4,278
4,390
4,235
351,604
TXAR
693.00
-1.28%
-19.41%
702.00
709.50
673.50
619,637
ALUAR
774.50
+0.58%
-29.51%
770.00
784.50
771.00
192,215
TGS
7,240
-0.55%
-17.93%
7,280
7,450
7,120
44,794
CEPU
1,678
+1.76%
-25.09%
1,649
1,678
1,600
129,716
MIRGOR
1,740
+0.00%
-92.00%
1,740
1,780
1,695
3,523
COME
31.18
+2.20%
-49.58%
30.51
31.40
30.76
3,810,293
LOMA NEGRA
2,978
+1.79%
-12.78%
2,925
3,003
2,853
34,896
BYMA
198.00
+0.00%
-32.82%
198.00
201.25
193.50
2,776,937
TELECOM ARG
3,340
-1.18%
-8.15%
3,380
3,490
3,293
11,295
GLOBANT
48.84
+3.02%
-22.36%
47.41
48.86
46.75
706,761
MERCADOLIBRE
1,490
-2.77%
-29.02%
1,533
1,523
1,470
584,446
03 Why it moved — cooling inflation keeps the reform trade alive
The clearest local catalyst was a sharp drop in Buenos Aires city inflation, which fell to 1.7% in August from 2.9% in July. Restaurants, hotels and clothing led the slowdown, while rents and fruit prices pushed the other way.
Investors read the city number as a reliable preview of the national inflation report due on Thursday. If the national print also comes in around 1.7%, it would reinforce the government’s claim that its austerity and deregulation agenda is working.
Economy Minister Luis Caputo appeared at a university event and ruled out any ‘plan platita’ — a colloquial term for handing out money before an election. He defended the fiscal surplus, which markets see as a cornerstone of Argentina’s stabilisation.
The Milei reform trade is really a bet on normalisation: falling inflation, a stable peso and a smaller state. Tuesday’s session showed that bet is still drawing buyers, particularly in banks and energy companies that benefit most from a less distorted economy.
04 The day’s movers
| Driver | Level / Move | Change | Note |
|---|---|---|---|
| Banco Macro | 12,490 ARS | +2.4% | Bank rally extended; most traded local name |
| Pampa Energía | 5,495 ARS | +2.0% | Energy demand story intact |
| Cresud | — | +2.0% | Agricultural landholder among gainers |
| Grupo Supervielle | — | +1.9% | Mid-cap bank joined the advance |
| Grupo Galicia | 7,030 ARS | +1.2% | Galicia also gained; $6m traded |
| Loma Negra | — | −2.4% | Cement maker the biggest domestic faller |
The most-traded local name was Grupo Galicia, a major Argentine banking group, with turnover of around $6 million in its Buenos Aires listing. Banco Macro and Pampa Energía were the standouts in percentage terms among large names.
On the losing side, Loma Negra — Argentina’s big cement producer — dropped 2.4%. It was the weakest domestic stock of the session, a possible sign of rotation out of construction-linked names.
Cross-listed CEDEARs, which track foreign shares, told a different story. Vista Energy, an Argentine oil producer listed locally as a CEDEAR, rose 3.3%, but moves in these instruments mainly reflect the US tape and the peso’s stability, not domestic fundamentals.
05 The regional scoreboard
| Index | Country | Change |
|---|---|---|
| S&P Merval | Argentina | +1.36% |
| Ibovespa | Brazil | +1.20% |
| IPC | Mexico | +0.44% |
| COLCAP | Colombia | +0.15% |
| BVL Perú | Peru | +1.05% |
Argentina led the region alongside Peru, whose BVL index gained 1.05%. Brazil’s Ibovespa — the main stock index of Latin America’s largest economy — added 1.20% on the day.
Mexico’s IPC rose a more modest 0.44%, while Colombia’s COLCAP was nearly flat at +0.15%. A live whole-market board above this section carries the closing levels for all regional indices.
06 The technical picture
The Merval’s close of 3,075,982 points put it about 9% below its 52-week high. Traders often watch that gap as the next big test — a break above the prior peak would signal broad confidence, while a stall could invite profit-taking.
The index finished near the day’s high, which is a constructive sign. It suggests buyers were still active into the close rather than waiting for a cheaper entry.
In the currency market, the peso’s stability just below its 52-week high of 1,514 per dollar is a key support for equities. A breach of that level could signal renewed pressure on the exchange rate, which would hurt peso assets across the board.
07 What to watch
- National inflation (Thursday): The national print is expected around 1.7% monthly, down from 2.1%. A lower figure would validate the rally; a higher one could hit banks and consumer stocks.
- Peso vs 52-week high: USD/ARS is 0.2% below its annual high of 1,514. A push above that level could shake confidence in the stabilisation plan.
- Banco Macro and Galicia turnover: Banking shares have led the rally. Sustained volume in these names would signal conviction, while fading turnover might hint at a pause.
- US dollar and rate backdrop: The US dollar index slipped on Tuesday. A further fall could ease pressure on emerging currencies, but rising US yields remain a headwind.
Background: Argentina’s Top Economic Officials Clash Over Jobs.
Background: Argentina Markets Week: Wholesale Peso Crosses 1,500 as Stocks Rise.
More: Argentina news in English, every day from The Rio Times.
Frequently Asked Questions
What is the S&P Merval?
It is Argentina’s main stock index, quoted in pesos. It tracks the largest and most traded companies on the Buenos Aires exchange.
Why did the Merval rise on September 8?
Investors bought banking and energy shares after Buenos Aires city inflation slowed to 1.7% in August, reinforcing the government’s stabilisation story.
What happened to the Argentine peso?
The wholesale rate ended at about 1,512 per US dollar and the parallel rate at 1,545. Country risk closed at 494 basis points.
What is the Milei reform trade?
It is a bet that President Javier Milei’s austerity and deregulation will lower inflation, shrink the state and lift the value of Argentine stocks and bonds.
Market data: RT; exchange figures from BYMA
This article was produced by The Rio Times’ automated AI newsroom. Editorial responsibility: Matthias Camenzind, Publisher and Editor-in-Chief. The Rio Times also runs Ask Rio Times, which answers from 100,000+ of our own articles, the daily Latin America Power Map, and prediction-market odds on elections and markets.. How we use AI · Report an error
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