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Moody’s Investors Service cut Argentina’s government bond rating further into junk on Monday, saying a sharp drop in central bank dollar reserves has raised concern about the country’s ability to service foreign debt.
The credit ratings agency downgraded the rating to ‘Caa1′ from ‘B3,’ and revised its outlook to stable from negative.
Prices surged again in Argentina last month as January’s depreciation of the peso continued to stoke steep inflation.
The February consumer-price index jumped 3.4% on the month, close to the 3.7% gain posted in January, economy minister Axel Kicillof announced at a news conference Monday….
According to private forecasts compiled by opposition congressmen, prices shot up 4.3% on the month in February, clocking an annual rate of 34.8%.