Bolsa de Comercio de Buenos Aires Last Week: Merval Rebounds, but Oil Shock and Inflation Loom

Argentina’s political drama took a bullish turn this weekend as President Javier Milei’s ruling coalition scored a decisive win in midterm legislative elections. Voters handed Milei a strong mandate to continue his radical free-market reforms, despite the pain of deep spending cuts and 100%+ interest rates. According to official results, Milei’s libertarian La Libertad Avanza party won ~41.5% of the vote in the key Buenos Aires province reuters.com – a shock upset in a longtime Peronist stronghold that observers say “ranks at the most optimistic end of pre-election expectations” reuters.com. The victory secures Milei’s allies enough seats to block any override of his presidential vetoes reuters.com, essentially giving him free rein to press on with aggressive pro-market policies.

It’s been a wild 12-month ride for Grupo Financiero Galicia’s stock. In late 2024, GGAL surged to a 52-week high of $74 amid investor euphoria over Argentina’s new pro-market government finviz.com. In November 2023, libertarian outsider Javier Milei won Argentina’s presidency, sparking hopes of economic reform europarl.europa.eu. International analysts upgraded GGAL aggressively – for example, Morgan Stanley boosted its target to $92 and JPMorgan to $54 as 2024 ended finviz.com. This optimism propelled the ADR sharply higher into early 2025.