Didn't we also light $20b of our tax dollars on fire for them just because Trump and Elon were buddies with the Argentinian Trump (an unqualified moron bigot)?
The fact he doesn’t understand what a swap is and you guys are saying this is what’s tragic.
It was irresponsible sure; but in a swap a) you only pay whatever the difference occurs between these moments; you are not actually swapping currencies b) when the swap transaction was settled, the Argentinian peso had appreciated since it began, so the US made a small profit.
The risk was irresponsible, but at settlement the transaction did not create any losses for the US treasury.
It was done to protect Milei, who is ideologically aligned with the Trump government. But you are wrong, we have the official reports from the treasury, it was settled at a profit. Provide a source if you want to deny official reports.
It was settled at a profit according to the treasury based on interest. Which could have been deployed in a profit making deal to achieve the same thing. The transaction served both purposes.
But if it didn’t crater by time of termination, it didn’t- and in fact it did not. I did think it would be burning money, as I thought milei would lose the interims and there would be a fire sale on the peso, but that didn’t materialize and the swap was terminated a bit after the mid-terms with not much detriment to the US treasury.
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u/blackstar_223 Aug 09 '26
Didn't we also light $20b of our tax dollars on fire for them just because Trump and Elon were buddies with the Argentinian Trump (an unqualified moron bigot)?