He US Treasury Secretary Scott Bessent ratified this Friday the support for the government of Javier Milei and stated: “No “We want another failed or Chinese-led state in Latin America.” A meeting is expected next week at the White House.
“President @JMilei is trying to break 100 years of negative cycles in Argentina. He is a great ally of the United States and we look forward to his visit to the Oval Office next week,” Bessent began on X (ex Twitter) this morning.
Furthermore, he added: “We do not want another failed or Chinese-led state in Latin America. Stabilizing Argentina is a priority for the United States,” he added.
Scott Bessent, on bailing out the US: “We do not want another failed or Chinese-led state in Latin America”
Thus, next week the President is expected to meet with Donald Trump at the White House. This Thursday night, Bessent spoke about financial assistance granted to Argentina and said that it will consist, mainly, of an exchange of currencies for US$20,000 million.
Given the political noise it generated on American soil, the Donald Trump government official said: “It’s not a bailout at all. It’s buying low and selling high”. In addition, he stated that the peso “is undervalued.”
The keys to Scott Bessent’s announcement: sale of dollars, swap, exchange bands and IMF monitoring
“Today we buy Argentine pesos directly”confirmed Bessent. After the local Treasury ran out of dollars to support the exchange rate within the band, “private offer” appeared in the middle of the round that made the wholesale dollar fall from $1,470 to $1,420.
What happened was that starting at noon, The United States, through Banco Santander, intervened in the official market by purchasing pesosas confirmed to Ámbito by the financial institution.
“Its currency band remains fit for purpose”the official of the donald trump given the doubts of the local market that They suggested that the exchange rate scheme would be modified after the midterm elections on October 26. It should be noted that various voices in the city maintained that the dollar should be completely released so that neither the Treasury nor the Central Bank burn foreign currency to support it between the bands.
Source: Ambito
