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Argentine Dollar Rates Rise as Treasury Faces Big Rollover Test

Lower rates alongside uncertainty over external financing are keeping investors focused on today’s rollover test.

Overview

  • - The official exchange rate advanced to roughly $1,453.5 in the wholesale market, narrowing the gap to the band ceiling near $1,509, while the blue retreated to about $1,450 and MEP/CCL hovered near $1,489/$1,531.
  • - The Central Bank cut its reference rate to 20% nominal annual, adding peso liquidity that has supported demand for dollars and nudged FX quotes higher.
  • - The Treasury’s auction seeks to refinance around $14.5 trillion pesos, with markets watching the rollover percentage as a key gauge of confidence and its impact on short-term rates.
  • - The Wall Street Journal reported the government is evaluating a smaller repo of about US$5 billion for January maturities, while Economy Minister Luis Caputo denied a previously touted US$20 billion bank credit, leaving financing signals mixed.
  • - Sovereign risk stayed in the mid‑600 bps range as equities and several sovereign bonds edged higher, with dollar‑linked fixings and approaching futures expiries contributing to recent volatility.