Andrew here. Keep your eyes on a corner of the market that hasn’t gotten enough attention: private credit. The bankruptcy of the auto parts maker First Brands Group is now hitting firms like Jefferies and UBS, which were among those that had lent money to the company. We’ve got more details about the dominoes that are now falling.
We’re also taking a look at the U.S. government’s multibillion-dollar bailout of Argentina — and questions it is raising.
Pushback against a U.S. lifeline for Buenos Aires
America has finally come to Argentina’s rescue, as the Trump administration aims to stabilize the embattled South American country’s economy and help out Javier Milei, the Argentine leader and an ally of President Trump.
But critics of the move note ties between investors in Argentinian assets and Trump officials, and they have raised concerns that the administration is extending the aid during the U.S. government shutdown.
The details: Treasury Secretary Scott Bessent said that the U.S. directly purchased Argentine pesos amid a run on the currency that forced Buenos Aires to spend billions of dollars to counteract it. Bessent added that the U.S. had also “finalized a $20 billion currency swap framework” with the Argentine central bank, though more information hasn’t been released.
Bessent said that the move was in the U.S.’s strategic interest by creating a strong, stable Argentina to help “anchor a prosperous Western Hemisphere.” Others point out that the country has significant supplies of minerals like lithium and copper that are crucial for U.S. and global manufacturing.
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The post Who Gained From U.S. Aid to Argentina? appeared first on New York Times.
