
Argentina’s country-risk index reached 939 basis points while the official dollar held at 1,570 pesos and financial exchange rates showed only a narrow gap. Government intervention in the foreign-exchange market, futures and peso-denominated debt helped contain the currency, while pressure was reflected in bond and share prices, interest rates and liquidity.
Intervention and tighter management of peso liquidity can restrain near-term peso depreciation, but may raise financing and liquidity pressures that could renew upward pressure on the peso-per-dollar rate. The article does not identify a direct feed-commodity price effect.
Not enough comparable past events yet for a historical read.
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