Argentine stocks sink as crude falls; bonds down

martes 10 de junio de 2008 18:16 ART
 

BUENOS AIRES, June 10 (Reuters) - Argentine stocks sank on Tuesday for the third straight session, pressured by a drop in global commodities prices and tracking losses in neighboring Brazil, traders said.

The benchmark MerVal stocks index .MERV fell 2.42 percent to end at 2,109.73 points. Brazilian stocks .BVSP also closed down more than 2 percent.

"A hefty drop in commodities prices hits the MerVal hard, along with the rest of the emerging markets bourses," said Jorge Alberti, an analyst at online brokerage Elaccionista.com.

Energy companies that fluctuate with crude oil prices have a major presence on the MerVal, and Argentina is a leading global supplier of grains such as soybeans, corn and wheat.

"Although the fall in crude oil prices affected the market, there was also a general decline in the top companies," Mariano Tavelli of Tavelli y Compania brokerage said.

Losses were led by Telecom Argentina (TEC2.BA: Cotización), which fell nearly 6.0 percent to 11.1 pesos a share, and Brazilian state energy company Petrobras (APBR.BA: Cotización) (PETR4.SA: Cotización), which shed 2.2 percent to end at 107 pesos in Buenos Aires.

On Argentina's broad market, volume was healthy at around $42.5 million. Of active issues, 8 advanced, 66 declined and 7 were unchanged.

BONDS, PESO

Government debt traded locally fell an average 0.8 percent in over-the-counter trade, with losses led by dollar-denominated Discount bonds, which shed 1.4 percent.   Continuación...