All Eyes on Argentina A foreign-debt default would hurt all Latin stocks Investors in Latin America need to have tough hides.
Few years go by without a crisis that sends foreign capital fleeing and bolsas plunging.
Two years of stagnation have brought this pivotal Latin economy to the brink of a foreign-debt default. Default would hurt stock markets from Santiago to Mexico City. It would shut Argentina itself, a major borrower, out of world markets, painfully delaying its chance of recovery. Borrowing costs would rise across the region. Argentina's creditors will do their utmost to prevent default, and an International Monetary Fund loan package negotiated in December should help.