Cause of Argentine Bond Selloff

While foreign reserves tumble, the president remains in hiding, spurring confusion and concern.

Argentine bonds are posting the worst rout in emerging markets on concern the government is absent as foreign reserves sink, inflation soars, and the peso depreciates.

The nation’s debt has lost 7.5 percent since Dec. 19, the last day that President Cristina Fernandez de Kirchner appeared in public after she had an operation to remove a blood clot near her brain in October. Developing-nation bonds have gained an average of 0.9 percent in the same period.

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