The goal is for the bodies to be allocated by the authorities Give more liquidity to the exchange market to avoid high volatility Which has suffered in recent days the local currency, which peaked at 42.50 pesos to the dollar on a day of low liquidity.
"We are going to take advantage of the existence of this auction in the market to promote the creation of market makers, of the foreign exchange market, something that does not exist … This is something we are talking with banks, no doubt it will start along with the Treasury proposals, Explained one source.
Finance Minister Nicholas Dojovne reported on Thursday that the Treasury will sell $ 6.6 million to the end of the year through daily auctions of $ 60 million, for the purchase of pesos thereby dealing with current expenses.
The announcement came after the Pesso devaluation to 7.8% within a few days, due to doubts about the progress of the economy and the political uncertainty created by the general elections in October, in which President Mauricio Macri will seek his re-election.
"Treasury sales (…) will provide liquidity at a time when, due to the uncertainty of the election process, the market may be this kind of dynamic", Explained another source related to the subject.
While the dollar remains within the region where the central bank did not intervene in the exchange market, which on Friday it was between $ 38,989 and $ 50,456, the Monetary Authority is concerned about the sudden changes in the market of little liquidity
"One thing is the value (of the dollar) and another thing is when variations are very sudden with a little liquidity (…) This type of dynamic is disruptive"Explained the source.