We’re flipping the bird at Canada, but we’re boosting the debt to throw billions at Argentina for beef we can make ourselves and pesos no one wants:
The Argentine peso is in trouble because, well, people don’t want it.
“The currency is woefully over-valued,” said Mark Sobel, U.S. chair of the Official Monetary and Financial Institutions Forum. “And the market has lost confidence that the value of the currency is sustainable or tenable.”
A bedraggled peso is a problem for Argentina’s government, which is about to face an election.
…So the U.S. Treasury is throwing more dollars at the peso, up to $20 billion more, using something called a currency swap, “where you exchange one currency for another,” said Arturo Porzecanski, a research fellow at American University’s Center for Latin American and Latino Studies.
The basic idea is Argentina gets dollars that it can then use to buy pesos, propping up the value. The U.S. gets to hang on to a bunch of pesos which it doesn’t actually need. At some point Argentina pays back the dollars, and that is where the risks start to come in.
“There’s repayment risk (that) we’re not going to get repaid everything that we’re owed,” said Steve Kamin, a senior fellow at the American Enterprise Institute. “Argentina is a serial defaulter. It’s defaulted many times, and it owes far more money now to other agencies — especially the IMF — than it can repay” [Sabri Ben-Achour, “Trump’s Plan to Prop Up Argentina’s Peso with U.S. Tax Dollars, Explained,” Marketplace, 2025.10.22].
Let me see if I’m reading all this correctly: we are trashing nation’s good name by stomping on the toes of reliable allies like Canada, but we’re throwing money at a nation with a history of failing to repay debts? Where has America’s good sense gone?
Watch out, farmers: when King Don tries to buy back your loyalty with bailout checks, he’ll probably pay you off in pesos.
Recall Mandatory Country of Origin Labeling or MCOOL was repealed in part to shield American welfare ranchers, packers and chemical companies from scrutiny because every ag product, meats both wild and domestic not grown organically in the United States is contaminated with atrazine, neonicotinoids, glyphosate, dicamba, DDT, mercury, lead, PFAS, E. coli, Imazalil plus other toxins and pathogens.
Don made the market high, now he taketh it away. After all “it would be nice if they understood that”.
He gave the Argentina farmers the China soybean market. Now he’s importing their beef. He knows what he’s doing after all he’s a ” vehicle of divine providence” according to Steve Bannon.