Argentine peso gives up bulk of post-election gains
Doubts return over future of Javier Milei’s controlled exchange rate policy
Doubts return over future of Javier Milei’s controlled exchange rate policy

After sky-high inflation, currency crises and failed reform plans, the country was never going to find a quick fix

Investors bet that electoral endorsement will keep president’s market-friendly reforms on track

Changes aim to build reserves and quell investor concern about President Javier Milei’s economic policy

Forward contracts indicate a 12% decline for currency despite $40bn US support package

US support has helped calm markets, but Argentina’s president is politically weakened as his party faces midterm elections

Currency gains sparked by estimated $400mn of US purchases melt away ahead of election for president Javier Milei