Daily Colombian market report – Monday, March 14

Initial thoughts from the investment community are that the earthquake could increase inflationary pressures for basic goods, while at the same time reduce demand in the short term for oil.  It’s possible, but surely not the only reason Pacific Rubiales saw its shares fall through the floor today as they shed 7.79% on significant volume, sending the Colcap down 1.41% on the day. Pacific has racked up losses of 15.3% in the last two trading sessions after reporting earnings last week.

Trading in Pacific Rubiales dominated the markets again, accounting for more than 75% of all volume, though Chocolates, Fabricato, and Conconcreto all had a day of more than 1.50% losses too. On the positive side, ISA led the market today trading more than 4.0% higher, followed by several other lightly traded names that were of no use to balance the market with the behemoth oil company.

The peso declined 0.50% today to 1,879.00 to the dollar.

Cotton and coffee traded more than 3% lower today, while oil and gold edged their way up, oil to $101.53 at the close and gold to 1,424.00.  Commodity markets could be volatile in the short term as the dynamics of the battles in North Africa and the Middle East wage on, and the ultimate effects of the tragedy in Japan become more apparent.

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