IMF-Aided CPI Makeover Signals Buy to Aviva: Argentina Credit

Argentina’s request for help from the International Monetary Fund in redesigning its consumer price index is a sign to Aviva Investors and Bulltick Capital Markets that inflation-linked bonds will extend a six-month rally.

The 11.1 percent inflation rate reported by the government is less than half the 25 percent estimated by Bulltick. Private economists and politicians say the government has underreported inflation since early 2007, when then-President Nestor Kirchner named a political appointee to head the agency that measures consumer prices.