Bondholders lower their demands twice in one week, as government also shows signs of flexibility that could extend negotiations
The country defaulted on its foreign debt five times in its history, with 2019 being the latest in an episode that might still not be over
Different types of funds and different groups of bonds mean avoiding default is not equally likely across all assets
Economy Minister offers 3-year grace period, 62% haircut on interests and 5% reduction in capital, but bondholders are not convinced
Fund backs calls for private debt holders to accept losses, while Argentina opens the door to IMF economic reviews
Governor Kicillof says province has "the will, but not the funds", as next week's deadline for agreement with bondholders looms
Postponing bond payments could put Argentina's current account and budget figures in the green
Likelihood of a short-term, unilateral default was overblown by investors, as reform package minimizes deficit spending
Many factor have combined to lead investors and analysts to ask serious questions over the potential need to renegotiate the country’s debt.
Fear and doubts over Argentine assets turned into a full-blown panic over the sustainability of the country’s debt this week.