Argentina's country risk index, which measures the extra yield investors demand on its dollar bonds over US Treasuries, rose 35 points to 709 on Thursday 22 October, according to JPMorgan. The move followed weak August activity data from INDEC, which showed output up just 0.1% on the month and down 1.7% on the year, making a technical recession more likely according to analysts. The official dollar hit a nominal record of 1,550 pesos at Banco Nación, while New York-listed Argentine shares fell, with Ternium down 5.9% and Tenaris down 4.3% at the open. Investors are also concerned about 2027 financing, as Argentina owes the IMF US$7.84 billion that year and recent local debt auctions offered no dollar bonds. The central bank bought about US$1.15 billion in October, lifting gross reserves to roughly US$50.2 billion.
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