Lima Stock Exchange closes in red in line with Wall Street

The Lima Stock Exchange (BVL) ended Wednesday’s session with heavy losses due to drag from the financial, mining and consumer sectors, following in tune with the poor performance of the markets on Wall Street.

At the close of trading, the S&P/BVL Peru General, the most representative of the Lima stock market, fell by 2.14% to 19,833.91 points.

Similarly, the S&P Index/BVL Peru Selective, which is made up of the most traded shares in the local market, fell by 1.53% and was placed at 519.08 units.

During the session, a traded amount of S/ 37.4 million was reported in 432 operations. In addition, shares of 59 companies were listed, of which 13 rose, 36 fell and 10 did not show any variation.

By sectors, those that had the most losses were: financial (-4.59%), mining (-1.52%) and consumption (-0.42%). While those that ended in green stood out those of service (0.97%), electricity (0.97%), industrial (0.72%) and construction (0.39%).

Among the local stocks that fell the most were those of Panoro Minerals (-15.38%), Trevali Mining Corporation (-9.80%), Volcan Compañía Minera (-7.35%), Sociedad Minera El Brocal (-6, 29%) and Credicorp (-5.22%).

In contrast, those that rose the most stood out Enel Generación Perú (3.53%), Unión Andina de Cementos (1.94%), Ferreycorp (1.45%), Empresa Siderúrgica del Perú (0.74%) and Cementos Pacasmayo (0.51%).

“At the local level, the Peruvian Index fell by 2% following the fall of the international stock markets during the day”, said César Romero, head of research at Renta4 SAB.

Stocks closed lower on Wednesday on Wall Street as lousy results of Target renewed fears that the inflation is hitting corporate America.

Investors also further digested comments from Federal Reserve officials that reaffirmed their goals to control inflation. The S&P 500 fell 4% on its worst day since June 2020, closing at 3,923.68. The Nasdaq Composite fell 4.7% to 11,418.15, while the Dow fell more than 1,100 points, or 3.6%.

The downward moves came as some weaker-than-expected earnings results from major retailers underscored the toll inflation has taken on corporate profits, Romero said.