Overview
- Economy Minister Luis Caputo reaffirmed that the peso will continue to trade within bands, arguing a free float is unworkable given political volatility and thin daily FX volumes of roughly $90–$250 million.
- He framed bands as a proven stabilization tool in developing economies and said the current range of 931 to 1,502 pesos per dollar is well calibrated.
- Caputo signaled an upcoming large inflow of export dollars as support for the current strategy.
- FIEL chief economist Daniel Artana cautioned that defending an untenable parity would force reserve sales or swap use, noting Argentina is roughly $9 billion short of the IMF’s December reserve target.
- Artana described U.S. support as a “virtual” backstop that eased tensions without a disbursement and contrasted easier access to a U.S. swap with China’s case-by-case approvals.