Bill Clinton's political strategist
James Carville always said he wanted to be reincarnated as
the bond market, since it was so powerful;
Argentine bonds slid to a five-week low on
Monday as the clock ticked toward what could be the country's second
default in 13 years.
Argentina's dollar
bonds due 2033 fell to 81.375 cents on the dollar, a five-week low and
down from as high as 90 cents on the dollar as recently as Thursday.
...."The
market is starting to crack," said Siobhan Morden, head of Latin
America strategy at Jefferies. "I think we're still heading lower. The
market had been holding out that there could be a last-minute deal."
Ms.
Morden said a survey of investors by Jefferies showed 57% expect
Argentina to default. She said she personally put that probability at
85%.
Economic reality isn't optional.
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