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Argentina Treasury Faces First 2026 Peso Auction to Roll $9.6 Trillion as Liquidity Squeeze Lifts Short Rates

The sale gauges rollover strength after policy actions drained pesos from the system.

Overview

  • The Finance Secretariat seeks to refinance roughly $9.6 trillion pesos today, with bids accepted from 10:00 to 15:00 and settlement set for Jan. 16.
  • The Treasury’s cash at the central bank totals about $3.1 trillion pesos, leaving a limited buffer and raising the need for a high rollover.
  • The offering spans twelve securities, including reopened LECAPs, a new BONCAP due June 2027, CER-indexed notes and bonds, a TAMAR letter, and two zero-coupon dollar-linked letters maturing Feb. 27 and Mar. 31, 2026.
  • Peso liquidity has tightened, with the one-day caución rate spiking intraday to roughly 150% TNA and average caución and repo rates in the low-to-mid 30% range.
  • Recent policy moves—about USD 4.2–4.4 billion in external debt payments and a USD 3 billion BCRA repo with international banks—have pulled pesos from the system as authorities prioritize containing FX pressures; sovereign bonds fell and risk gauges rose.