El Cronista: “On Wall Street they believe there will be a technical default but they still don’t sell their bonds” by MARIANA SHAALO For first time since 2009, the value of insurance for covering an Argentine default rose despite the price of bonds that the country emits didn’t drop

Lead Articles:

La Nacion: “IMF warns about the risks of Griesa’s ruling” By Silvia Pisani
For the first time, it says that it could threaten other restructurings

Clarin: “IMF warns about negative implications of lawsuit against the
country” By Armando Pérez

Telam: “The IMF warns that upholding Griesa’s ruling could affect
future debt exchanges”

Ambito Financiero: “IMF warns about adverse ruling”

La Nacion: “Citi asks that new bonds not be affected” by Florencia Donovan
Makes filing in Griesa’s courtroom over warrants with local law

Clarin: “Citibank asks Griesa to exclude the ruling on Argentine
bonds” by Ezequiel Burgo
Wants to know if it will affect the payment of local debt. It comes
close to appellate court’s ruling.

Ambito Financiero: “Citibank asks Griesa for clarification and
confuses the markets” By: Carlos Burgueño
• Asks that ruling exempt future bonds emitted under Argentine law
• Government clarifies that issue was already resolved

Clarin: “Hillary strongly criticizes and speaks of the ‘heavy hand of
government’”
The ex-Secretary of State for Obama spoke in U.S. about controls in Argentina

El Cronista: “On Wall Street they believe there will be a technical
default but they still don’t sell their bonds” by MARIANA SHAALO
For first time since 2009, the value of insurance for covering an
Argentine default rose despite the price of bonds that the country
emits didn’t drop

El Cronista: “The costs of the policy of ‘living on our own’” by Laura García
Debt reduction appears as one of the best basted homilies of the
K-narrative, 10 years since its arrival in power. From that
monumental swap until the emancipation from the IMF and the
nationalization of the AFJP, going to the appropriation of the BCRA
reserves and the current lawsuit with the holdouts with the patriotic
exaltation of the anti-vulture resistance and a threat of default


OTHER NEWS ITEMS:
· The “blue” dollar rebounded yesterday, rising about 5% to
8.80 after having lost about 20% of its value in the last two weeks.
· El Cronista reports that with the BCRA’s move to push banks
and credit card companies to lower the daily withdrawal limits on
their Argentine clients making cash withdrawals in “border countries”
(with a particular nod to Uruguay, where there are ATMs that
distribute dollars), the government is taking action to stem an
outflow of dollars that is reaching US$1 million a day in these
withdrawals across the border.
· AF reports that Empiria, a consulting firm, issued a report
indicating that the BCRA could lose as much as US$5 billion or more
from its reserves this year in net losses, and the tax amnesty would
do little to erase that given the Central Bank’s inability to recover
reserves despite being in the season of the harvest liquidation.
· Marcelo Bonelli writes in Clarin that the government is
preparing to deploy its “activist control” forces into the stores to
enforce Cristina’s program of “Watch and Protect” on prices,
particularly in supermarkets. Guillermo Moreno will be mobilizing
concession owners of the Mercado Central – a government stronghold –
to picket and storm uncooperative stores in Peronist style, with
specific targets being products from Arcor, Nestle, Kraft, La
Serenisima and SanCor. The move is designed, Bonelli writes, for the
government “to throw the blame of inflation on businessmen and to
slide away from its political responsibility for the rise in prices,
in a key year for the plan for Cristina Kirchner to keep herself in
power.” It is a tactic used by Peron himself 60 years ago. Cristina
is also expected to convene La Campora, Movimiento Evita, Kolina
(Alicia Kirchner’s activist group) and the “bosses” of Buenos Aires
province next week at the Casa Rosada to launch the effort.
· Ana Maria Edwin, director of INDEC, said at an event
yesterday that the new national CPI “is on the launching pad” and will
be ready in September.
· El Cronista reports that a paper entitled “Grading Latin
American Presidents: A View from the Stock Market” by Juan Jose Cruces
and Javier Garcia-Cicco, finds that investors who bought stock during
the 10 years of Kirchnerism quadrupled their investment under Nestor
and lost half of it under Cristina.
· Rumors abounded yesterday that Amado Boudou had been seen
checking in to the emergency room of a clinic in Buenos Aires. Some
had him getting a medical check-up, others said he was admitted for
chest pains. The Casa Rosada strongly denied the rumors, said he’s in
“perfect health” and said he will be traveling to Ecuador on a
scheduled trip for Rafael Correa’s inauguration.