
U.S. Banks Shelve $20 Billion Bailout Plan for Argentina
Bankers are instead discussing a smaller, short-term facility to help Argentina make a roughly $4 billion debt payment in January
Global X MSCI Argentina ETF

Bankers are instead discussing a smaller, short-term facility to help Argentina make a roughly $4 billion debt payment in January

October's top ETF gainers included the likes of AMDU, ARGT, WGMI and HYDR. These ETFs soared as AI, crypto, and reform optimism drove markets higher.

Argentina's recent election results and President Milei's reforms have sparked a sharp rally in local stocks and renewed optimism for economic normalization. Global X MSCI Argentina ETF offers broad exposure to Argentina, with undervalued banks such as GGAL and SUPV and energy firms such as YPF presenting attractive entry points despite recent gains. Risks remain high due to political uncertainty, but fiscal surplus, falling inflation, and U.S. backing support a more optimistic outlook than past cycles.

Global X MSCI Argentina ETF (ARGT) rallied nearly 20% after Milei's party outperformed in Argentina's midterm elections, signaling market confidence in his policies. I upgrade ARGT to a hold rating, reflecting improved inflation and consumption trends, but recognizing persistent economic challenges and high fund concentration risks. Despite rapid market gains, Argentina's GDP has shrunk and inflation remains high, making ARGT suitable only for aggressive, risk-tolerant investors.

Argentina is facing a severe financial crisis as the peso has come under high downward pressure, impacting the Global X MSCI Argentina ETF. ARGT is an interesting ETF with solid fundamentals. However, the sociopolitical environment creates high risks. The United States has extended Argentina a $20 billion lifeline, but this may not be enough.

Persistent exchange rate pressures continued to weigh on Argentina's financial markets on Wednesday, straining the Treasury as proceeds from a special liquidation deal with agricultural exporters dwindle.

Argentina's peso weakened marginally on Monday while stocks edged up and bond prices rose in anticipation of news of financial aid from the U.S. Treasury and as political tensions in Argentina escalate before the country's midterm elections later this month.

Kevin Carter, EMQQ founder and CIO, and Dave Nadig, ETF.com president and director of research, join CNBC's Contessa Brewer to discuss the appetite for emerging markets this year and if the opportunity has passed, the SEC potentially allowing asset managers to add ETF share classes to mutual funds and the crypto ETF products that could launch before year-end.

Treasury Secretary Scott Bessent on Wednesday gave more details on how the White House plans to use government funds to help embattled Argentina President Javier Milei.

The South American nation faces a market run on its peso amid questions about its economic prospects.

Downgrade Global X MSCI Argentina ETF from buy to hold after Milei's party's defeat in key provincial legislative elections. The loss undermines a critical pillar of the investment thesis, raising doubts about the passage of economic reforms and increasing political risk for ARGT. Despite ARGT trading below historical P/E averages, falling earnings and diminished upside reduce the risk-return appeal.

ARGT remains less an economic play and more a political bet on Argentina's reform trajectory under Milei. Recent scandals and Buenos Aires' electoral defeat have fueled doubts about Milei's governability. Despite miraculous macro gains—plunging inflation, fiscal surplus, rising reserves—political risk dominates.

I move my ARGT rating from "buy" to "hold" due to increased short-term risks despite solid long-term fundamentals. Recent Treasury intervention in FX markets and the end of LeFi have heightened volatility and market sensitivity. Political uncertainty and legislative setbacks have raised country risk and amplified price swings in ARGT's concentrated portfolio.

ARGT has significantly outperformed the S&P 500 over the last year and offered a 57% greater dollar return over the past decade. Argentina has seen major reforms and now enjoys a much stronger economy, but there are still risks investors should not ignore. Global X MSCI Argentina ETF is a fund that has limitations, including a lot of holdings with a surprisingly small degree of Argentine exposure.

After a triple-digit run since pre-2023, Argentine equities have hit a pause in 2025 as growth lags investor optimism. Inflation has collapsed and GDP is rebounding, but markets remain cautious amid FX volatility and soft trade balances. Ending currency controls was necessary—but has triggered near-term ARS depreciation and trade frictions.

Argentina offers high growth potential but is plagued by extreme volatility, currency issues, and political instability, making broad market investing very risky. The MSCI Argentina Index outperformed the S&P 500 in up markets but suffers from wild swings and poor risk-adjusted returns, making it a feast-or-famine scenario. The Global X MSCI Argentina ETF (ARGT) fails to deliver compelling risk-adjusted returns, with high volatility and tracking error; I rate it a 'Sell.'

I recommend buying Global X MSCI Argentina ETF, as Argentina is poised for a second bull run driven by political and economic reforms. President Milei's aggressive reforms, despite limited congressional support, have already delivered impressive GDP growth and improved institutional predictability. Milei's party remains popular, recently winning key local elections, and is expected to gain more power in upcoming legislative elections, enhancing governability.

Global X MSCI Argentina ETF remains a buy as Argentina's macro stabilization, fiscal surplus, and disinflation drive renewed investor confidence and strong equity performance. Key holdings like YPF, GGAL, PAM, and MELI deliver robust earnings growth, reflecting real corporate transformation and sectoral recovery. Despite high volatility and concentration risk, ARGT's 5-year returns far exceed the S&P 500, with dividends growing at an impressive pace.

Argentine traders cheered on Wednesday a court's political ban on populist former President Cristina Fernandez de Kirchner, a powerful but divisive politician who often clashed with investors and creditors.

Argentina's sweeping economic reforms—currency liberalization, tax cuts, and deregulation—are set to drive robust economic growth and investor confidence. Lifting currency controls and unifying exchange rates should attract foreign investment and stabilize inflation, benefiting the broader economy and ARGT shareholders. Global X MSCI Argentina ETF offers diversified exposure to Argentina's growth, though investors should note its heavy weighting in MercadoLibre and potential political risks.