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Major US banks including JPMorgan, Bank of America, Goldman Sachs, and Citigroup are in talks with the US Treasury to provide Argentina with up to $20bn in loans, according to Semafor. Treasury Secretary Scott Bessent said the plan involves a $20bn investment facility for Argentina’s sovereign debt, paired with a $20bn US currency swap line, totaling $40bn in support. The emergency loan would be backed by Argentine assets, though details on collateral are still under discussion. All four banks and the Argentine government declined to comment. Despite political uncertainty ahead of Argentina’s October 26 elections, Bessent affirmed that US support would continue if President Milei’s government maintains sound policies.
Argentina’s 4.125% 2035s traded slightly lower at 57.34 to yield 14.23%.
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