U.S. Treasury Secretary Scott Bessent reiterated support for Argentina’s Javier Milei on Thursday, but warned that the aid doesn’t involve outright US investment, pushing bonds between gains and losses in a roller-coaster morning session.
The currency market was more stable, largely because Javier Milei’s government sold dollars for a third straight day to defend the peso.
Bessent wrote on X early Thursday that the US would do “what is necessary” to help Argentina, triggering a surge in the bonds. A little later, he told CNBC that this didn’t mean putting money into the country, a caveat that sent the notes back down again. They are now edging lower.
The U.S. had previously outlined at least three possible options to help the South American nation, including a $20 billion swap line, the repurchase of Argentine debt and direct currency purchases. Bessent’s comments on Thursday seem to have narrowed it down.
“We’re giving them a swap line, we’re not putting money into Argentina,” he said in the CNBC interview.
