Argentina went to the polls on Sunday to choose the candidates in the presidential election to be held on October 27. However, there were no competing candidates as all the main parties presented only one option. President Mauricio Macri, who intends to run for a second term, was expecting to finish neck and neck with Peronist opposition leader Alberto Fernández. He was not even close. Fernandez won the primary by a large margin (47% to 32%), enough to secure the presidency in October (45% is the threshold to avoid a run-off).

The peso was sent tumbling, while the Merval — the local stock index — lost 48% of its value in US dollar terms. Government dollar bonds lost about 25% on average, with yields rising to about 35% on short-term notes, while credit default swaps implied a default probability of 75%.

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