# GlobalSource Partners | Government tries to stabilize the exchange

> Economist Domingo Cavallo's forecast says Argentina's first-quarter 2019 economy performed worse than expected, with inflation well above forecasts. Since March the peso has depreciated rapidly toward the upper limit of the non-intervention zone, and residents are increasingly dollarizing their assets. The forecast assumes the IMF will allow unlimited reserves for intervention so the rate stays below 51.4 pesos per dollar.

- Date: 2019-04-29 · published 2019-04-29T12:00:00.000Z
- Category: macro · region Argentina · magnitude low
- Page: https://feedsoft.ai/events/59872-globalsource-partners-government-tries-to-stabilize-the-exchange
- Commodities: [Argentine Peso (ARS per USD)](https://feedsoft.ai/c/USDARS.md)

## Why it matters

A deep recession and possible currency crisis can cut domestic demand for feed and livestock products and weaken exporter selling behavior. The forecast points to ongoing macro risk for Argentine agricultural trade.

## Read by commodity

- USDARS: bearish ▼

## Sources

- globalsourcepartners.com: https://www.globalsourcepartners.com/posts/the-government-tries-to-stabilize-the-exchange-rate-as-expectations-worsen/teaser

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