# FxWirePro: Argentinian exports likely to rise in Q1’2017 – Bid USD/ARS 2w ATM calls and hedge FX payable exposures via 3m NDFs | EconoTimes

> Ahead of the December 14 FOMC meeting, FX analysts expected the Fed to raise the funds rate from 0.50% to 0.75%, a move already priced in by markets. The note recommends buying two-week USD/ARS at-the-money calls and selling three- to six-month USD/ARS NDFs, citing expected Argentine agricultural export strength, tax amnesty inflows and Argentina's planned return to markets in Q1 2017. It also notes the central bank held rates after a 200 bp cut in November.

- Date: 2016-12-14 · published 2016-12-14T12:00:00.000Z
- Category: macro · region Argentina · magnitude low
- Page: https://feedsoft.ai/events/73735-fxwirepro-argentinian-exports-likely-to-rise-in-q1-2017-bid-usd-ars-2w-atm
- Commodities: [Argentine Peso (ARS per USD)](https://feedsoft.ai/c/USDARS.md)

## Why it matters

Stronger seasonal grain and oilseed export receipts and capital inflows would add dollar supply in Argentina, supporting the peso against the dollar. Traders expect the Fed hike to be a limited move in FX, so Argentine export-driven currency strength is the main price channel for feed buyers sourcing Argentine product.

## Read by commodity

- USDARS: bearish ▼

## Sources

- econotimes.com: https://econotimes.com/FxWirePro-Argentinian-exports-likely-to-rise-in-Q12017--Bid-USD-ARS-2w-ATM-calls-and-hedge-FX-payable-exposures-via-3m-NDFs-449082

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.