The results of the primary elections were surprising, as well as how quickly internal tensions escalated within the ruling coalition. The market’s vote was a cautiously optimistic one, recognizing that the short term is fraught with problems, although the chances of a regime change in 2023 have increased. The market’s logic is that this means good news for the business world. We tend to agree with this interpretation.
You Must Agree With the 33%!
*Impossible, My Friend
In the midst of the political crisis, which at times threatens to become an institutional crisis, the 2022 Budget was sent to the National Congress. Beyond the fact that the figures on it were established without with a more “normal” situation, so they could not even remotely foresee the impact of the events that are happening in recent days, they contain inconsistencies that are obvious, the largest being the one that it concerns the projection of inflation.
August Inflation: The Lowest So Far This Year (And the Remainder)
After an election to be forgotten and the tumult that resulted within the ruling coalition, INDEC delivered good news that went almost unnoticed: the inflation print for August was the lowest in 13 months. The result sounded like too little, too late: lowering inflation a few tenths would not be enough to change the electoral landscape for November. The other bad news is that inflation is unlikely to continue falling.Econviews-Weekly-September-20th-2021