Milei’s Coalition Wins Argentine Midterms, Secures Veto Shield in Congress

Overview

• With roughly 40.7%–40.8% of the vote, La Libertad Avanza won 64 of 127 deputy seats and at least 13 of 24 Senate seats, expanding its bloc enough to protect presidential vetoes when the new Congress is seated on 10 December.
• Turnout hovered near 66%–67%, the lowest for a national vote since 1983, as the ruling party posted strong results in Buenos Aires, Córdoba and Santa Fe and victories reported in most provinces.
• Markets rallied after the result, with the peso strengthening about 10% to around 1,355 per U.S. dollar, the S&P Merval jumping nearly 20%, and Argentine shares abroad gaining sharply.
• Recent U.S. financial support included a US$20 billion currency swap and additional resources arranged to stabilize the peso, and President Donald Trump publicly congratulated Milei on the win.
• Milei said he will seek backing from moderates for labor, pension and tax reforms and signaled a cabinet reshuffle as several ministers move to Congress, including Patricia Bullrich and Luis Petri.