Caputo sends more gold to London to try to get a 1 billion USD loan and rebuild reserves – Tucuman24

The scene repeats itself: late at night, a silver transport service loads gold bars onto a commercial flight en route to London. Switzerland is the final destination of the metal where the Bank of Basel is to offer it as a guarantee to investors willing to put in new money.

This is no ordinary crime novel fiction. Again the government is going to send gold from the Central Bank’s reserves as collateral to push a repo loan of around $1 billion through Basel.

Repo is the English acronym for repurchase. The transaction involves a financial entity selling an asset to an investor with a commitment to buy it on a specific date at a specific price. “It is a short and expensive loan,” said a source from the financial sector who said that “this shows the trust that Argentina is generating, she has to rob her grandmother’s jewelry to get money.”

Little or nothing is known about the terms of the repo. The golden work is covered with a cloak of darkness. The case came to light as a result of a complaint from Sergio Palazzo, head of La Bancaria, about criminal cases. Days later, Caputo had to publicly acknowledge the action. However, he did not provide details about interests, terms, amounts sought and the destination of the funding.

In the market they understand that the urgent search for this repo is to be covered liquid liquid use, which the economic team would have used in such a small percentage, to stop the rise of the dollar. Although this is not the proportion of deposits that banks must transfer in the Central Bank to guarantee the vulnerability of the financial system, it is the last available money to intervene in the price of the financial dollar.

“They’re going to cover that red even though they’re going to have to blow it up immediately if they’re going to give it their all to keep the gap,” concluded the source contacted. – counseling.

“Caputo’s decision goes against the international trend of the past two decades, which shows that many advanced countries are trying to accumulate gold in anticipation of unrest over end of the world order,” warned Ricardo Aronskind, researcher and professor at the National University of Scotland. General Sarmiento.

LPO.-