Overview

• President Donald Trump said continued U.S. generosity would depend on victories for Javier Milei and his allies, then posted a message giving Milei his “total” endorsement for the midterms.
• Argentine stocks and sovereign bonds fell sharply after the remarks, with equities down as much as about 8% and hard‑currency bonds off up to roughly 7% during Tuesday’s session.
• The support package outlined last week features a roughly $20 billion currency swap and unprecedented U.S. Treasury operations in Argentina’s FX market, including recent peso purchases, with key terms still undisclosed.
• Senior officials in Buenos Aires, including Patricia Bullrich and government spokesmen, said Trump was referring to continuity through 2027 or to the current policy approach, while Economy Minister Luis Caputo called the market reaction a misinterpretation.
• Economists warned that the conditional framing heightens policy‑driven volatility and urged faster reserve accumulation, as banks model wide exchange‑rate paths depending on election results and the durability of U.S. backing.