Win Secured

President Javier Milei's party secured a decisive win in Argentina's legislative elections, easing investor fears and triggering sharp rallies across the country's financial markets.

Context

Argentina's financial markets had experienced significant turmoil as investors worried that a poor electoral performance by Milei could derail his free-market reforms and tip the nation into economic crisis. The situation became so dire that the Trump Administration stepped in with a $20B currency swap – an agreement allowing Argentina to exchange pesos for dollars to stabilize its currency and markets – ahead of the vote. Trump had made clear that continued US support for Argentina depended on Milei's electoral success, stating, "If he wins, we're staying with him. If he doesn't, we're gone."

Election Details

Milei's Freedom Advances party won approximately 41% of the national vote in Sunday's election, exceeding pre-election forecasts that predicted around 30% support. The party secured 64 of 127 contested lower house seats and 13 of 24 open Senate positions, which more than doubled the party’s representation in congress.