The recent YPF ruling in New York against Argentina, along with a cautious report by the JP Morgan financial firm, and the upcoming mid-term elections sparked some noise in the country’s markets this week, with the peso weakening against the U.S. dollar.

Between Friday and Tuesday, the U.S. dollar exchange rate jumped from AR$1,204.6 to AR$1,237.3 — 3% in two days. Meanwhile, Argentine dollar-nominated bonds fell along with Argentine stocks traded on Wall Street through American Depositary Receipts (ADRs).

YPF’s ADR rose slightly on Tuesday after plunging sharply the day prior. Meanwhile, the country risk, as measured by JP Morgan, closed at 701 basis points.

On Monday, New York Judge Loretta Preska ordered Argentina to hand over shares of oil and gas giant YPF as a partial payment to the Burford Capital hedge fund, which won a US$16.1 billion lawsuit over the company’s 2012 nationalization. Preska gave Argentina two weeks to transfer its Class D shares to a global custody account at the Bank of New York Mellon.

After devaluing the peso by more than 50% in 2023, the Milei administration propped up the currency in a bid to contain inflation. However,........

© Buenos Aires Herald