Key insights
- Argentina's inflation slowed to 2.6% in April, the first decrease in 11 months. While seemingly localized, persistent global inflation, especially in emerging markets, can influence US monetary policy and investor risk sentiment. Higher global inflation could indirectly pressure the Fed to maintain a hawkish stance, potentially weighing on US equities. However, the impact is limited given Argentina's relatively small economic footprint.
Investing.com -- Argentina’s consumer prices rose 2.6% in April compared with March, marking the first slowdown in inflation in 11 months, according to data released Thursday by the statistics agency Indec.
The figure came slightly above the 2.5% median estimate from economists surveyed by Bloomberg. Year-over-year inflation decreased marginally to 32.4% from 32.6% in March.
Transport costs saw the largest price increases at 4.4% due to higher fuel costs, followed by education.
President Javier Milei achieved the slowdown after prices had jumped in March due to an Iran war-related oil shock. Inflation had reached 3.4% in March, driven by the war shock and back-to-school price increases.
Economy Minister Luis Caputo said in an interview before the data release that the numbers would show a slowdown from March. He stated the economy’s best months would arrive in June, following last year’s midterm elections that reduced growth.
Prices had only risen or remained flat after reaching a seven-year low of 1.5% in May 2025.
Milei’s approval ratings have recently fallen to their lowest levels since he took office, amid corruption scandals and an uneven economic recovery. The decrease in inflation may improve his standing.
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