Traders Bet on Weaker Argentine Peso as Milei’s IMF Deal Looms

Investors see the Argentine peso on the verge of devaluation ahead of IMF deal

Investors see the Argentine peso on the verge of devaluation again, with the currency poised to change direction once more after going from one of the worst in the world in 2023 to among the strongest performers last year.

Traders Bet on Weaker Argentine Peso as Milei’s IMF Deal Looms

Investors see the Argentine peso on the verge of devaluation again, with the currency poised to change direction once more after going from one of the worst in the world in 2023 to among the strongest performers last year.

The certainty provided by the foreign exchange anchor during the first 15 months of Javier Milei’s government seems to have disappeared suddenly. The possibility that the economic team would abandon the crawling peg that it used to contain inflation and move to a scheme of bands as part of the program that negotiates with the IMF triggered a demand for coverage that triggered rates in the futures market and forced the Central Bank to sell more t…

As April 2025 approaches, the economic uncertainty in Argentina increases, with the devaluation of the peso as one of the main concerns. To discuss this issue, Canal E communicated with economist Pablo Ferrari, who warned that, “it is almost inevitable that Argentina faces a devaluation of the peso in April 2025.” According to the interviewee, the accelerated loss of reserves and pressure on the exchange rate make the current economic situation …

While waiting for signs of the agreement with the IMF, the markets today operated negatively, both at the level of the shares and the bonds of the debt. The Argentine ADRs retreated on Wall Street, on a difficult day marked by a sharp drop of more than 2% of the index that nucleates to the technological ones, the Nasdaq. The Porteña Stock Exchange also operated in red, both in pesos and in dollars, while the bonds, after a mixed start, ended the…

“Markets need clarity and certainty that capital can flow freely inside and outside the country,” says the firm