Argentine bonds fall

Argentine bond prices fell on Friday due to growing skepticism the country will move forward in the short term with plans to restore relations with creditors and the International Monetary Fund. Most government debt traded over-the-counter in Buenos Aires ended the week on a declining note, with the actively traded peso-DISC bonds accumulating a drop of about 2 percent in the week.
The country's debt prices sagged on a lack of news on the country's plans and disappointment mounted with the failure of officials to produce a timeline for a potential International Monetary Fund review of the country's economy. Argentina's government bonds are among the world's top performing fixed income securities in 2009, with some peso-denominated bonds up more than 60 percent. Until recently, Argentine bonds had rallied on a global rise in risk appetite and expectations the country would address problems with defaulted debt and issue a bond.
Argentina has been frozen out of the global debt market since a massive 2001-02 default. "Some investors are getting tired of waiting for fresh news on the IMF," a trader in Buenos Aires said. "Recent gains were very strong" and therefore prone to a correction.