The end of the World Cup’s first round this week might be a boon for some of the region’s stock markets.
During the last World Cup in South Africa in 2014, the European Bank found that volume fell by a half on many local markets while a country’s national team was playing. It’s unclear how overall volumes have fared so far this year, but it wouldn’t be a surprise to see the trend has continued.
Argentina starts the week with unions carrying out a 24-hour national strike on Monday and Latam Airlines deciding to cancel all flights in and out of the country for a day just in case. Also on Monday, Mexico publishes its latest retail sales numbers and Uruguay releases its GDP calculation which may show whether Moody’s is right when they say the economy seems to be strengthening.
On Tuesday, Argentines come back from the strike to learn how the economy fared in April’s monthly reading of economic activity, Brazilians get their consumer confidence numbers amid electoral volatility, and Peru will bid farewell to Russia after playing Australia in their first World Cup trip in 36 years.
Wednesday Mexico shows its trade balance in May after a deficit in April, but attentions are likely to be on TV screens as Mexico plays Sweden, Costa Rica faces Switzerland and Brazil plays Serbia for a chance to pass to the next round.
Thursday is inflation day in Brazil with the central bank quarterly report and the May reading for IGP-M, an index that quickly reflects the weight of the dollar appreciation against the real.
On Friday, Panama will play the last game of its first ever appearance at a World Cup while Colombians will face Senegal and get ready to know whether the country’s benchmark interest rate will stay at 4.25% while Brazilians will learn the unemployment level in May – and whether coach Tite was able to keep his position at the helm of the national team.