Argentine Markets Sink Anew on Fernandez’s Harsh IMF Statement
- Central bank intervention failed to prevent slide in the peso
- Stocks decline and bond spreads widen by 182 basis points
Argentine peso banknotes
Photographer: Sarah Pabst/BloombergThis article is for subscribers only.
Argentina bond spreads widened to the most in 14 years after opposition leader Alberto Fernandez ripped the debt-laden country’s accord with the International Monetary Fund.
The spread over Treasuries widened 182 basis points to 2,003 basis points, the most since June 2005, after Fernandez said much of the IMF loan had been wasted on financing capital flight out of the country. The peso fell 1.8%, while stocks extended three days of losses.