Lima stock market closes in red due to the drag of the mining and financial sectors

The Lima Stock Exchange (BVL) ended Tuesday’s session with losses due to the mining, financial, consumer and construction sectors, with investors adjusting to a more restrictive monetary stance by the Federal Reserve.

At the end of the operations, the S&P/BVL Peru General Index, the most representative of the Lima stock market, fell by 1.38% to 19,563.03 points.

Similarly, the S&P/BVL Peru Selective Index, which is made up of the most traded shares in the local market, fell by 0.92% and stood at 518.09 units.

During the session, a traded amount of S/ 38.9 million was reported in 324 operations. In addition, shares of 69 companies were listed, of which 18 rose, 32 fell and 19 did not show any variation.

By sectors, those that had the most losses were: mining (-2.85%), financial (-1.14%), consumption (-1.10%) and construction (-0.53%). Only industrial finished green with 0.22%. Meanwhile, services and electricity did not register changes.

Among the local stocks that fell the most are those of Casa Grande (-5.75%), Intercorp Financial Services Inc (-4.66%), Scotiabank Peru (-4.55%), Southern Copper Corporation (-3.34 %) and Compañía Minera San Ignacio de Morococha (-2.63%).

In contrast, those that rose the most were Luz del Sur (2.18%), Trevali Mining Corporation (2.17%), Ferreycorp (1.92%), Unión de Cervecerías Peruanas Backus y Johnston (1.76%) and Volcano Mining Company (1.67%).

“At the local level, the Peruvian Index fell to a greater extent than the American, this after several sessions correcting to a lesser extent.”, said César Romero, head of Research at Renta4 SAB.

globally

The S&P 500 closed down 0.4% in a fifth straight session of losses, taking the index to 3,735.48.

The S&P 500 entered its first bear market since March 2020 on Monday as its closing price put it more than 20% below its recent record January closing high. The Nasdaq Composite held on to narrow gains of around 0.2% to take the index to 10,828.35, while the Dow Jones lost 150 points, or 0.5%, to close at 30,364.83.

Volatility resurfaced in markets at the start of the week as investors scrambled to price in a greater likelihood of a further interest rate hike by the Federal Reserve in its race to tackle inflation, the analyst noted.

They expect the Federal Open Market Committee (FOMC) to raise interest rates by 75 basis points this week, and data from CME Group showed on Tuesday that traders were pricing in a higher probability of such an outcome. of 90%.