Argentina stocks slip on raw material drop, Siderar

jueves 10 de abril de 2008 18:11 ART
 

BUENOS AIRES, April 10 (Reuters) - Argentine stocks dipped on Thursday on lower raw materials prices, dragged down by steel-maker Siderar SID.BA after Venezuela's government announced the nationalization of its sister company, Ternium Sidor.

The benchmark MerVal stock index .MERV fell 0.67 percent to 2,135.46 points.

"The market fell in line with raw materials and due to the persisting queasiness after the nationalization of (Ternium) Sidor and its effect on Siderar" said Mariano Tavelli, a trader at Tavelli & Co brokerage.

Shares of Siderar SID.BA fell 0.79 percent to end at 25 pesos per share. Siderar and Ternium Sidor are both units of Ternium TX.N, a New York-listed company controlled by Argentine conglomerate Techint. Siderar also has an indirect 8.4 percent stake of Sidor.

Venezuela's government said on Wednesday it would return steelmaker Ternium Sidor to state control.

Among the session's losers was market heavyweight Tenaris (TENA.BA: Cotización), which is another member of the Techint family and also has a small stake in Sidor.

Tenaris is the top world producer of seamless steel tubes for the oil and natural gas industry. Its shares fell 1.75 percent to 81.25 pesos.

On the broad market, volume swelled to $51.8 million. Of the active issues, 40 declined, 19 advanced and 17 ended unchanged.

On the debt market, government bonds <AR/BONOS> rose 0.4 percent on investor speculation the government will announce a higher-than-expected inflation figure. The session's losers were led by the dollar-denominated Boden 2014 bond, which gained 1.6 percent.   Continuación...