MercoPress. South Atlantic News Agency
Argentina hopeful US Supreme Court will take the hedge funds holdouts case
US Supreme Court is likely to issue a ruling in the upcoming months favoring Argentina’s position in the country’s dispute against hedge funds ('vulture funds'), anticipated former Argentine Finances Secretary Guillermo Nielsen. Read full article
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Disclaimer & comment rulesExcuse me, if Arjuntina paid back the money owed there would be no court case. Does any-one know where I can borrow money and not pay it back, I certainly would be interested.
Jun 16th, 2014 - 07:15 am - Link - Report abuse 0If SCOTUS decides to make this political it should bear this in mind, it will be the end of any credibility for the US judicial system. It's why, in any proper society, the executive and the judiciary are separate.
Jun 16th, 2014 - 10:30 am - Link - Report abuse 0I think his hopes have been dashed somewhat
Jun 16th, 2014 - 02:37 pm - Link - Report abuse 0http://online.wsj.com/articles/u-s-supreme-court-rejects-argentina-appeal-in-sovereign-debt-case-1402926119
Argentina: “SCOTUS says NO! Pay your debts!”
Jun 16th, 2014 - 03:14 pm - Link - Report abuse 0Standby for a torrent of 'Malvinas' propaganda from CFK. No doubt she'll be opening several new 'Malvinas' attractions, and rally around some sycophants to 'support' Argentina's claims...in other words the usual.
Im laughing so hard, a little bit of wee has come out
Jun 16th, 2014 - 03:32 pm - Link - Report abuse 0After US court ruling, Argentinean shares plummet in Buenos Aires and New York
Jun 16th, 2014 - 03:55 pm - Link - Report abuse 0Shares were falling 5.2 percent in Buenos Aires Stock Exchange after the US Supreme Court adverse ruling in the country’s case against to hedge fund creditors, the so called vulture funds.
In Buenos Aires Stock Exchange, the leader pannel was down by 5.2% to 6,630.99 units after the verdict. Merval index dropped 4.09% to 7,717.83 units.
Argentinean shares were also plummeting in Wall Street, where energy companies suffered the most. Edenor power company fell by 15.4%. While The Transportadora de Gas del Sur SA (TGS) dropped 13.3% and YPF oil company was down by 13.9%.
Financial firms also were down. BBVA Banco Francés dropped 8.5% and Galicia Financial Group fell 6.7%.
AND
The US Supreme Court today ruled that creditors can seek information about Argentina's non-US assets in a case about bank subpoenas that is part of the decade-long litigation over Argentina's obligations to bond investors.
The ruling, on a 7-1 vote, was a second win at the high court within minutes for hedge fund NML Capital Ltd, which is seeking payment of court judgments it says are worth around $1.7 billion.
Not good news for CFK. If only she had taken her lawyer's advice and kept her mouth shut.
On the up-side. NML Capital have indicated they will consider settlement offers from CFK's government now the legal point has been settled and they have the law on their side.
@6 CFK won´t pay the holdouts, we don´t have the cash. Expect another default and the people who rule Argentina start killing people left and right until they get their cash. I hope the int´l community is praying it doesn´t spill over to neighboring countries...
Jun 16th, 2014 - 04:30 pm - Link - Report abuse 0@7 Politicians in Argentina are urging CFK to react with caution. If she starts mouthing off and playing to the crowd by crying “We will never pay!”, there will never be a negotiated settlement. The holdouts will just go after Argentine assets - with the full weight of the law on their side now - and shares will continue to plummet. If only someone would muzzle her.
Jun 16th, 2014 - 04:58 pm - Link - Report abuse 0@ 7 MagnusMaster
Jun 16th, 2014 - 05:01 pm - Link - Report abuse 0But TMBOA let it be known that The Dark Country had USD 30+ Bn in the bank!
You are not suggesting she told lies, surely!
Ha, ha, ha.
Great result for CONTRACT LAW!
Now we will see what we will see: will TMBOA scweem and scweem and scweem until she is sick or will it be a step nearer the wire noose and the lamp post?
I am hoping the latter.
I hope someone can restrain her for the greater good of Argentina. They have lost, they should make the appropriate steps to negotiate with the holdouts. Any screeching and playing to the crowd will not be at all helpful.
Jun 16th, 2014 - 05:21 pm - Link - Report abuse 0Oh dear, the propa, whoops I meant speech writers. Will have to rip up her victory over the vultures speech, which true to form was 4 hours long and start all over again.
Jun 16th, 2014 - 05:25 pm - Link - Report abuse 0The final cost of NY lawyers anyone ???
Jun 16th, 2014 - 06:07 pm - Link - Report abuse 0@8 there won´t be a negotiated settlement, due to the pari passu clause, we can´t pay afford to pay the holdouts what they want, because then we would pay everyone else the same, and we don´t have the cash. IANAL so I don´t know if we can just wait until the pari passu clause expires to pay the holdouts.
Jun 16th, 2014 - 06:16 pm - Link - Report abuse 0Unless they go after CFK´s stolen loot or we get a pardon on some of our debt we can´t pay the holdouts. Our debt is already impossible to pay in full.
@9 of course CFK was lying. The problem is the judges have no clue that the 30 billion figure is pure manipulation of statistics and I think CFK doesn´t know either. This manipulation in this case wasn´t CFK´s fault, the reserves were always counted in this way. According to BCRA´s own public documents, we only have 7 billion (maybe even less) in cash. The rest is all bonds, private deposits and illiquid assets.
IF the holdouts want to get paid, they should look for the 10 billion euros CFK stole, same as the Paris Club and everyone else. Argentina has no money, it´s all gone.
I don´t know what CFK is thinking but I think she will declare default. The government will do anything to save their asses and they answer to the mafia and gov´t workers who are threathening to kill everyone if they don´t get paid, Singer is a saint compared to them.
It seems the plan of the Ks was to show an interest in honoring different debts with long term bonds to Repsol and PC in order for SCOTUS to kick the can down the road to 2015 and enable them to go back to the credit markets...
Jun 16th, 2014 - 06:27 pm - Link - Report abuse 0I think she is going to be very angry tonight....
Where is that user “sTink” coming to praise Kicillof and mark a US Supreme court check ”✓” ??
@ 14 CabezaDura2
Jun 16th, 2014 - 06:39 pm - Link - Report abuse 0The Lunatic you mean? I had forgotten about him: he is instantly forgettable after all.
At least you have what you rightly think is needed for Argentina. If this doesn't get rid of her and her wanabe gangsters and provide a new beginning then what will: civil war perhaps?
Im delighted, She cant go out for loans now and the system they have created has run out of money to function. It also means a powerful political argumentative defeat for the Ks.
Jun 16th, 2014 - 07:09 pm - Link - Report abuse 0They are claiming that we are now traitors for celebrating this. So therefore I believe that will be more a less the lines of tonight.
I always knew that NY Contract law would be upheld and in the end Argentina would have to negotiate a settlement.
Jun 16th, 2014 - 07:26 pm - Link - Report abuse 0I think the way this rolls out is Default then a managed bankruptcy( for lack of a better term) /recapitalization through the IMF. Whether this happens now or after the hag is gone is anyone's guess.
The problem is they're also out of status with the IMF.
They can't loan for a year unless the USA forces the issue.
I don't see why we would bother.
Effects of an Rg default will be localized to Argentina, Brazil Uruguay and nobody cares about those countries.
I couldn't be happier!
The timing is great, loan payment due in 2 weeks, no reserves, no Oil?Gas, Recession and 40% inflation.
What have I been saying, Default, Massive Peso Depreciation, Hyperinflation and then a Generation to fix the mess the Ks created.
check, check and oh yeah check.
@ 17 yankeeboy
Jun 16th, 2014 - 07:41 pm - Link - Report abuse 0I LIVE in Uruguay, so less of it please.
I only ever comment on Obuma and NEVER disrespect the American people, please reconsider your words.
And YES, we were all correct: CONTRACT LAW RULES!
SCOTUS less Sotomayor (is she the new Latino Justice?) are to be applauded.
Chris, As an Retired Expat I can't imagine you'll have an issues. I had a great time living in Argentina during the last default when they were DESPERATE for U$.
Jun 16th, 2014 - 07:57 pm - Link - Report abuse 0Everyone knows Uruguay will be dragged into the muck right along with Argentina. Especially since you have ol drunk weak Pepe still in charge.
As you know Uruguay is inconsequential to the world's economy. They have a good reputation for payback so they should be able to get some loans to weather the downturn. Just don't expect to export anything to Arg or much tourists next year.
I've always thought the USA was setting up Brazil to “help” Argentina. Let them spend their money and time trying to keep the losers afloat.
It keeps them out of our hair and bathing everyone on the world stage.
This will be fascinating to watch
Hold on tight
It is going to be a bumpy ride!
I doubt there will be any help for the current government. CFK has been to vocal and disrespectful. Unnecessarily so but purely to show off her ego.
Jun 16th, 2014 - 08:05 pm - Link - Report abuse 0I do think international agencies will try to lessen the effects of the mismanagement on the Argentine people.
It will still be a rotten few years in Argentina.
20. The USA is still blocking IMF, WB and IDB loan disbursements.
Jun 16th, 2014 - 08:13 pm - Link - Report abuse 0I'm not sure who else would be able to “lesson the effects” on the Arg population.
@15 hopefully not a civil war but I don't see the mafia sitting on their asses if they don't get paid.
Jun 16th, 2014 - 08:51 pm - Link - Report abuse 0I thought that I would be cheering at CFK getting her come-uppance but there are a lot of Argentine families going to be hard hit by this all because of CFK''s super ego. What does Axel have to say about this ?
Jun 16th, 2014 - 08:52 pm - Link - Report abuse 0@21 I guess they will rely on charities.
Jun 16th, 2014 - 09:09 pm - Link - Report abuse 0@23 CFK is unusually quiet on twitter.
A lot of politicians are calling for calm……. they must be expecting trouble.
Well lets see what the old hag has to say in her speech at 9pm tonight.
Jun 16th, 2014 - 09:09 pm - Link - Report abuse 0As usual she will play the blame game and say nothing of the billions she has stolen.
Hopefully this is the beginning of the end for her.
Yes things will get tough here. But this is the country with the most potential and always will be.
Truth is many people don't want to work or have terrible work ethic and don't want to better their lives.
If Argentina does go into default I hope that snake Singer never see's a dime of his money. He took a risk buying the bonds and has not recovered his money yet.
25. You'll be lucky if they don't freeze the BCRA BIS account. That'll be next if they don't come to an settlement quickly.
Jun 16th, 2014 - 09:35 pm - Link - Report abuse 0CFK's arrogance and disregard for the law has put the Int'l Reserves in jeopardy.
Just wait....
This is just the beginning of the end.
@ 19 yankeeboy
Jun 16th, 2014 - 10:00 pm - Link - Report abuse 0Your experiences in Argentina will not be replicated in Uruguay.
To make up the shortfall in “trade commissions” the idiots in charge will raise taxes across the board.
That WILL affect me; I shall have less to invest to offset inflation which might just eventually encroach on our luxury lifestyle. No-one but no-one in SA has realised that there is a limit to the yield on taxation: it's just beyond them to grasp the concept.
With 600,000 deadbeats, aka government employees, who contribute nothing fiscally to the tax take appart from the IVA, the load as usual will fall on the actual productive workers.
“Well lets see what the old hag has to say in her speech at 9pm tonight.”
Jun 17th, 2014 - 12:38 am - Link - Report abuse 0Will the Falkland Islands be mentioned in this speech tonight?
@28 She didn't actually mention the Falklands in her speech.
Jun 17th, 2014 - 12:47 am - Link - Report abuse 0Just rattling on B.S. for 20 mins then at the end mumbled something about not having the money to pay. Shaping up for a default by the looks of things
@29 yup technical default most likely.
Jun 17th, 2014 - 02:27 am - Link - Report abuse 0I didn't stay up to watch her speech but the Argentine papers are saying that 1) She blamed the dictatorship. 2) She called it extortion. 3) She said she was not surprised by the verdict. 4) She said they would not default.
Jun 17th, 2014 - 07:31 am - Link - Report abuse 0The speech we pre-recorded.
Kilichoff is going to make a speech tonight at 6pm. I think they intend to pay all who entered into the debt swap by not transferring the $ to the US but pay directly. Then tell the vultures to go take a hike.
Jun 17th, 2014 - 10:19 am - Link - Report abuse 032. That would be the dumbest thing they could do. Greisa already said if they defy the court order has has plenty of ways to compel Argentina to pay/negotiate.
Jun 17th, 2014 - 11:44 am - Link - Report abuse 0These Arg gov't folks are stupid, weak and totally out of their depth. I kinda hope they defy the order so I can see where this goes.
It will be more fun to watch
as the country gets financially strangled
It may be just what the people need to finally wake up and participate in the real world instead of this delusional bizarro world they've tried to create for themselves.
@33 we don't have much choice anyway, I wonder what will Griesa do once he finds out we don't have the cash? Remember that the holdouts could ask for up to 15 billion, plus if we pay 100% to them we have to pay 100% to everyone else. Even he can't pop out dollars out of nowhere, only the Federal Reserve and the North Koreans can.
Jun 17th, 2014 - 06:34 pm - Link - Report abuse 0What do you mean by the people waking up?
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