Argentine Peso Gains Strength as Stock Market Takes a Hit

The Argentine parallel market peso appreciated by around 2% on Monday, trading at 1,470 pesos per U.S. dollar, following new economic measures by President Javier Milei's government. Meanwhile, the Merval stock index dropped by 3.8% amid these developments.

The Argentine parallel market peso appreciated against the U.S. dollar in morning trading on Monday, following new economic measures rolled out by President Javier Milei's government over the weekend.

The peso strengthened around 2% to 1,470 pesos per dollar, reflecting optimism in currency markets.

However, the Merval stock index suffered a 3.8% drop, underscoring investor concerns about the broader economic implications of the government's policies. The dual market movement highlights the challenges and uncertainties facing Argentina's financial landscape.

(With inputs from agencies.)