Argentina's Inflation Rebounds, Prompting Policy Adjustments

President Javier Milei modifies aggressive economic measures to balance inflation control with public support.

Monthly inflation rose to 4.6% in June, breaking a five-month decline.
Utility bills surged as subsidies were cut, significantly affecting middle-class households.
Fuel tax and utility price hikes were postponed to prevent further inflation spikes.
The central bank plans to use new Treasury debt for monetary policy to achieve positive real rates.
Economic austerity measures have deepened the recession, with recovery expected in 2025.