Argentina Loses Room to Intervene in FX Futures Before Vote (1)

<-bsp-bb-link state=”{“bbHref”:”bbg://screens/COUN%20AR”,”_id”:”0000018b-4ebb-d53f-a1eb-7ebf1a770000″,”_type”:”0000016b-944a-dc2b-ab6b-d57ba1cc0000″}”>Argentina-bsp-bb-link>’s central bank is almost out of room to intervene in currency futures, the main avenue it’s been using to prop up the plunging peso ahead of a pivotal <-bsp-bb-link state=”{“bbDocId”:”S2U1DMT1UM0W”,”_id”:”0000018b-4ebb-d53f-a1eb-7ebf1a770001″,”_type”:”0000016b-944a-dc2b-ab6b-d57ba1cc0000″}”>presidential vote-bsp-bb-link> on Sunday.

The country’s monetary authority has sharply increased its sales of peso futures contracts on Rofex, the biggest derivatives market, to supply investors <-bsp-bb-link state=”{“bbDocId”:”S2HH4EDWLU68″,”_id”:”0000018b-4ebb-d53f-a1eb-7ebf1a780000″,”_type”:”0000016b-944a-dc2b-ab6b-d57ba1cc0000″}”>seeking to hedge-bsp-bb-link> against a post-election devaluation, people with direct knowledge of the matter said. The central bank, which is almost the only seller in Rofex, saw its “sold” position exceed $4 billion on Thursday, according to the people, who asked not to be …