Even a 69% annual interest rate isn't enough to tempt investors to risk lending to the Milei ponzi, which means they either expect a default very soon, or they expect price inflation to exceed 69% over the next year. This was an ice-cold bucket of reality poured on the delusional talk of an economic miracle by the clown who plays a free market economist on TV and has been placed in the presidency to revive Argentina's largest industry: sovereign bond pump-and-dumps.

Even if the bond auction had succeeded, it is difficult to see how Argentina could possibly avoid default and/or very high inflation in the rest of Milei's term. According to Grok, Claude, ChatGPT, and basic common sense, no country has ever offered a yield higher than 30% on its bonds and avoided default, hyperinflation, or an IMF bail-out within the next three years. Failing to sell a bond at more than double that yield means the writing is on the wall, and you can safely ignore the media hype about an 'economic miracle'. As I discussed last year,[1] Milei is just another inflationist president, and the inevitable consequences are rearing their ugly head.