The clouds of a new crack are gathering again over Argentina. After the decision of the US Supreme Court, which rejected the South American country's appeal against the payment to hedge funds that had rejected the debt restructuring following the 2001 default, the spread on Argentine bonds continues to grow, reaching 885 basis points in comparison with American stocks.
The reaction of the "President" Cristina Fernandez de Kirchner was very harsh, who, in a televised message to unified networks, defined the operations carried out by the funds that did not accept the restructuring as "extortion". Kirchner assured that Argentina will respect the next repayment deadline (June 30, for 900 million dollars), but she clarified that the country does not want "to be complicit in this way of doing business".
For the President, who reaffirmed the country's "willingness to negotiate", what Argentina is facing right now is not so much a financial or legal issue, but "a business model on a global scale" that could cause “unimaginable tragedies”.
Meanwhile, the International Monetary Fund has expressed, through a note, its concerns about the possible repercussions that this situation could have on the financial system, while Standard & Poor's has cut Argentina's rating from "CCC+" to "CCC-", with a negative outlook.
