Argentina once again cropped up in recent news reports, after posting a third straight day of gains, to make an announcement that would have been unthinkable five years ago. They're considering a new bond release, worth fully a billion dollars.
The current word says that, if they actually do it, they'll do it by the end of the week, suggesting that the phrase "strike while the iron is hot" is still very much adhered to, at least in the financial sector. Argentina's Economy Minister Amado Boudou said that the possibility was "open" but "depend(ed) on market conditions by Friday".
Of course, you've got to remember that Argentina defaulted on fully one hundred billion dollars worth of bond issues just eight years ago, back in 2002. So the question remains, why on earth would someone loan these people money?
Argentina, for what its worth, seems to be working out of the "Hey, At Least We're Not Greece" school of advertising thought, and that's been working for it somewhat as evidenced by the last three days of gains. But can it ever really be enough to merely not be completely hosed? I personally would say not. Those with a bit more adventurous nature or money to lose might well consider taking this particular flier. I, on the other hand, wouldn't. Nor would I recommend it to anyone else.
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