Argentina’s Peso Debt Yields Soared Before Key Auction

Yields on the Argentine government’s short-term notes soared to record highs Monday, just two days before the Treasury faces an auction that will help gauge investor appetite ahead of crucial midterm elections in October.

The yield on Lecap notes maturing Sept. 12 jumped to 65%, its highest level since the instrument was first issued a year ago and up from 46% at the start of August, according to data compiled by Bloomberg. Interest rates on other Lecaps also jumped.