EM LATAM CREDIT: Republic of Argentina (ARGENT; Caa3pos/CCC/CCC): Fitch

“Argentina’s FX Policy Shift Opens Clearer Path to Reserve Accumulation” - FitchRatings

Neutral for prices

• Fitch commented favorably and suggested the ‘CCC’ rating could be upgraded in the future if Argentina succeeded in materially increasing reserves and regaining access to international markets for funding.

• The rating agency viewed the almost total lifting of capital controls as a positive development as it may accelerate reserve accumulation despite a potentially short-term uptick in inflation.

• Fitch acknowledged that international market access may hinge on the outcome of the midterm elections in October.

• ARGENT 2035s were last quoted USD65.5, up ½ point today. The bonds were 3 points higher since March 2025 month end and less than 4 points away from the peak of USD69 in January 2025.