When Argentina's government said this February that inflation
was higher than it previously thought, bonds rallied by up to
ARGENTINA ECONOMY: On a knife edge
Argentina has so far dodged another long-predicted financial crisis. Many believe it might just avoid the worst this time—even if that means via the ballot box. By Charles Newbery
That may be odd, but this is Argentina. The news came as a
The government said consumer prices rose 3.7% over the month
of January compared with December, not far off some private
sector estimates of close to 5%. Many analysts had feared less
than 3%, which would have been a sign that Argentina's
president, Cristina Fernández de Kirchner, would
continue to downplay inflation as a concern despite, some
warnings it could surpass as much as 40% on an annual basis
While higher inflation is a worry, the cheer was rooted in
Argentina's admittance of the problem and then coming clean -
at first glance - after seven years of underreporting consumer
It may be too soon for applause, however. Some say a...
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