Overview

• The U.S. established a $20 billion currency swap with Argentina’s central bank, and the Treasury also bought pesos to address what officials called an acute liquidity crunch.
• At the White House, Trump said U.S. assistance would continue only if Javier Milei’s coalition wins the Oct. 26 legislative elections, stating, “If he loses, we are not going to be generous with Argentina.”
• Markets whipsawed on the remarks, with Argentine bonds issued under New York law down up to 7% and the Buenos Aires stock index turning negative after earlier gains.
• Treasury Secretary Scott Bessent said support depends on Milei sustaining pro-market reforms and noted the aid is not predicated on ending Argentina’s separate currency swap with China.
• The package has faced domestic pushback over using emergency resources during a U.S. government shutdown and from American farmers frustrated by China’s soybean purchases from Argentina.