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Argentina reports its first single-digit inflation in 6 months as markets swoon and costs hit home

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Argentina reports its first single-digit inflation in 6 months as markets swoon and costs hit home

Argentina’s monthly inflation rate eased sharply to a single-digit rate in April for the first time in half a year, data released Tuesday showed, a closely watched indicator that bolsters President Javier Milei’s severe austerity program aimed at fixing the country’s troubled economy.

Prices rose at a rate of 8.8% last month, the Argentine government statistics agency reported, down from a monthly rate of 11% in March and well below a peak of 25% last December, when Milei became president with a mission to combat Argentina’s dizzying inflation, among the highest in the world.

ARGENTINA WILL GET NEXT INSTALLMENT OF BAILOUT AS IMF PRAISES MILEI’S AUSTERITY POLICIES

“Inflation is being pulverized,” Manuel Adorni, the presidential spokesperson, posted on social media platform X after the announcement. “Its death certificate is being signed.”

Although praised by the International Monetary Fund and cheered by market watchers, Milei’s cost-cutting and deregulation campaign has, at least in the short term, squeezed families whose money has plummeted in value while the cost of nearly everything has skyrocketed. Annual inflation, the statistics agency reported Tuesday, climbed slightly to 289.4%.

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“People are in pain,” said 23-year-old Augustin Perez, a supermarket worker in the suburbs of Buenos Aires who said his rent had soared by 90% since Milei deregulated the real estate market and his electricity bill had nearly tripled since the government slashed subsidies. “They say things are getting better, but how? I don’t understand.”

A vendor waits for customers at the central market for fruit and vegetables in Buenos Aires, Argentina, Friday, May 10, 2024.  (AP Photo/Natacha Pisarenko)

Milei’s social media feed in recent weeks has become a stream of good economic news: Argentine bonds posting some of the best gains among emerging markets, officials celebrating its first quarterly surplus since 2008 and the IMF announcing Monday it would release another $800 million loan — a symbolic vote of confidence in Milei’s overhaul.

“The important thing is to score goals now,” Milei said at an event Tuesday honoring former President Carlos Menem, a divisive figure whose success driving hyperinflation down to single digits through free-market policies Milei repeatedly references. “We are beating inflation.”

Even so, some experts warn that falling inflation isn’t necessarily an economic victory — rather the symptom of a painful recession. The IMF expects Argentina’s gross domestic product to shrink by 2.8% this year.

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“You’ve had a massive collapse in private spending, which explains why consumption has dropped dramatically and why inflation is also falling,” said Monica de Bolle, a senior fellow at the Peterson Institute for International Economics who studies emerging markets. “People are worse off than they were before. That leads them to spend less.”

Signs of an economic slowdown are everywhere in Buenos Aires — the lines snaking outside discounted groceries, the empty seats in the city’s typically booming restaurants, the growing strikes and protests.

At an open-air market in the capital’s Liniers neighborhood, Lidia Pacheco makes a beeline for the garbage dump. Several times a week, the 45-year-old mother of four rummages through the pungent pile to salvage the tomatoes with the least mold.

“This place saves me,” Pacheco said. Sky-high prices have forced her to stick to worn-out clothes and shoes and change her diet to the point of giving up yerba mate, Argentina’s ubiquitous national drink brewed from bitter leaves. “Whatever I earn from selling clothes goes to eating,” she said.

Argentina’s retail sales in the first quarter of 2024 fell nearly 20% compared to the year before, a clip comparable to that of the 2020 pandemic lockdowns. The consumption of beef — an Argentine classic — dropped to its lowest level in three decades this quarter, the government reported, prompting panicked editorials about a crisis in Argentina’s national psyche.

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“Now I buy pork and chicken instead,” said Leonardo Buono, 51-year-old hospital worker. “It’s an intense shock, this economic adjustment.”

Milei, a self-proclaimed “anarcho-capitalist” and former TV personality, warned his policies would hurt at first.

He campaigned brandishing a chainsaw to symbolize all the cutting he would do to Argentina’s bloated state, a dramatic change from successive left-leaning Peronist governments that ran vast budget deficits financed by printing money.

Promising the pain would pay off, he slashed spending on everything from construction and cultural centers to education and energy subsidies, from soup kitchens and social programs to pensions and public companies. He has also devalued the Argentine peso by 54%, helping close the chasm between the peso’s official and black-market exchange rates but also fueling inflation.

Inflation in the first four months of 2024 surged by 65%, the government statistics agency reported Tuesday. Prices in shops and restaurants have reached levels similar to those in the U.S. and Europe.

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But Argentine wages have remained stagnant or declined, with the monthly minimum wage for regulated workers just $264 as of this month, with workers in the informal economy often paid less.

Today that sum can buy scarcely more than a few nice meals at Don Julio, a famous Buenos Aires steakhouse. Nearly 60% of the country’s 46 million people now live in poverty, a 20-year high, according to a study in January by Argentina’s Catholic University.

Even as discontent appears to rise, the president’s approval ratings have remained high, around 50%, according to a survey this month by Argentine consulting firm Circuitos — possibly a result of Milei’s success blaming his predecessors for the crisis.

“It’s not his fault, it’s the Peronists who ruined the country, and Milei is trying to do his best,” said Rainer Silva, a Venezuelan taxi driver who fled his own country’s economic collapse for Argentina five years ago. “He’s like Trump, everyone’s against him.”

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Argentina’s powerful trade unions and leftist political parties have pushed back against Milei with weekly street protests, but haven’t managed to galvanize a broad swath of society.

That could change — last week, a massive protest against budget cuts to public universities visibly hit a nerve, drawing hundreds of thousands of people.

“The current situation is completely unsustainable,” said de Bolle, the economy expert.

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Iran War Live Updates: Trump Officials and Iran Plan New Talks Despite Mixed Messages

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Iran War Live Updates: Trump Officials and Iran Plan New Talks Despite Mixed Messages

The United States military last week extended its blockade on vessels coming in and out of Iranian ports to the waters of the wider world, declaring that it would pursue any ship aiding Iran, regardless of location on the high seas or flag.

The U.S. “will actively pursue any Iranian-flagged vessel or any vessel attempting to provide material support to Iran,” Gen. Dan Caine, chairman of the Joint Chiefs of Staff, said Thursday, noting that the American troops beyond the Middle East will engage in operations to thwart Iranian shipping.

The extension of the blockade comes as the economically vital Strait of Hormuz remains all but closed to commercial traffic and the two-week cease-fire between the United States and Iran nears an end. The move aligns longstanding American economic policies targeting Iran with the current military campaign against it, maritime and military law experts say.

But it raises a host of legal and practical questions.

“War is a messy thing not just on the combat side but under national and international law,” said James R. Holmes, chair of maritime strategy at the Naval War College.

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“From a legal standpoint, a blockade is an act of war, so the blockade probably is legal to the extent Operation Epic Fury is,” he said using the name of the U.S. military campaign against Iran.

Since Congress has not declared war against Iran, no formal state of war exists between the United States and the Islamic Republic. But Mr. Holmes noted that “undeclared wars are more the rule than the exception in U.S. history,” with joint resolutions of Congress, United Nations Security Council resolutions and NATO decisions invoked to justify fighting.

“This campaign may be more unilateral than most, but it is not without precedent,” he said.

Under international law, the legality of the blockade is “more ambiguous,” said Jennifer Kavanagh, a senior fellow and director of military analysis at Defense Priorities, a foreign policy think tank in Washington.

A state-organized rally in support of the supreme leader Mojtaba Khamenei in Tehran on Friday.Credit…Arash Khamooshi for The New York Times

For a blockade to be legal, Ms. Kavanagh said, it must be “effective,” meaning that it is both enforceable and enforced. Some would argue that a “‘global blockade’ is not permissible in conception” because it is overly broad, she said.

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Still, expansive blockades have taken place throughout history, including during World War II, when states enforced naval blockades worldwide other than in neutral territorial seas. Over the centuries before that, the British blockaded France throughout the Revolutionary and Napoleonic Wars, and during the War of American Independence, the colonies and their allies raided British shipping as far away as the Indian Ocean.

Enforcing expansive blockades is difficult, however.

“The seven seas are a big place, and the largest navy or coast guard is tiny by comparison,” Mr. Holmes said. Whether the U.S. blockade ultimately is deemed “effective,” legally speaking, will depend on whether the U.S. has enough assets like ships, aircraft, boarding crews and intelligence gathering to enforce it.

The blockade does not have to be “airtight” to meet the legal test, Mr. Holmes said, and assessing its effectiveness will be tough for outside observers in any case.

Enforcement may also have to be somewhat selective, he suggested.

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“Now, it is possible our leadership might quietly let a ship proceed when it suits the national interest,” Mr. Holmes said. “For instance, with a summit coming up between President Trump and General Secretary Xi” — Mr. Trump is to meet with China’s leader, Xi Jinping, in May — “Washington might not want to ruffle feathers by obstructing China’s oil imports.”

The expanded blockade is part of a longstanding economic campaign against Iran, but it represents something of a tactical change for the Trump administration.

Earlier in the war, the United States temporarily lifted sanctions on Iranian oil at sea to ease the pressure on global energy prices. And before imposing a blockade on Iranian ports last week, the U.S. allowed Iranian tankers to transit the Strait of Hormuz for the same reason.

Now Washington seems to be returning its focus to keeping pressure on Iran.

“The blockade is a wartime extension of existing U.S. economic sanctions against the Iranian regime,” said James Kraska, professor of international maritime law and a visiting professor at Harvard Law School. In peacetime, he said, the sanctions were a “powerful tool to weaken the Iranian economy.” Now, he said, the blockade serves as a “kinetic expansion.”

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General Caine’s announcement about the expanded naval blockade came one day after Treasury Secretary Scott Bessent announced “Operation Economic Fury,” an effort he called the “financial equivalent” of a bombing campaign. It includes secondary sanctions on institutions internationally, like banks, that have dealings with Iran.

The expanded blockade “marks a notable escalation by the United States,” said Ms. Kavanagh.

Still, she said, it is unlikely to significantly change Iranian calculations.

“For Iran, this war is existential and it is not going to cave easily or quickly,” she said. “Economic pressure may work over the very long term, but Trump seems too impatient for a deal to wait it out.”

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Deadly shooting at historic tourist site leaves one dead, several injured as motive unclear

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Deadly shooting at historic tourist site leaves one dead, several injured as motive unclear

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A Canadian woman was shot and killed Monday, and several others were injured, before a gunman took his own life at Mexico’s popular Teotihuacan pyramids. 

Mexican officials said that four people were wounded by gunfire and two others sustained injuries from falls. Among the injured were tourists from Colombia, Russia, and Canada, according to local government reports via The Associated Press.

A firearm, a bladed weapon, and live cartridges were found at the scene, Mexico’s Security Cabinet confirmed on social media.

The Pyramid of the Moon and the Pyramid of the Sun are seen along with smaller structures lining the Avenue of the Dead in Teotihuacan, Mexico, on March 19, 2020. A gunman killed a Canadian tourist and injured several other before taking his own life at the popular site, authorities said Monday. (Rebecca Blackwell/AP)

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“Our thoughts are with their family and loved ones, and consular officials are in touch to provide assistance,” Canada’s foreign ministry said in a social media post. 

Mexican President Claudia Sheinbaum wrote on social media that the shooting would be thoroughly investigated and that she was in contact with the Canadian Embassy.

TOURISTS TRAPPED IN PUERTO VALLARTA RECOUNT CARTEL RETALIATION AFTER EL MENCHO KILLED

Mexican President Claudia Sheinbaum speaks during her morning press conference at the National Palace in Mexico City on Jan. 5, 2026. (Raquel Cunha/Reuters)

“What happened today in Teotihuacan deeply pains us,” she wrote. “I express my most sincere solidarity with the affected individuals and their families.”

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Sheinbaum said she has instructed the Security Cabinet to investigate the events and provide all necessary support to the victims.

People visit the Pyramid of the Sun in the pre-Hispanic city of Teotihuacan near Mexico City, Mexico, on March 21, 2024, following the spring equinox. (Henry Romero/Reuters)

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“Personnel from the Secretariat of the Interior and the Secretariat of Culture are already heading to the site to provide assistance and accompaniment, along with local authorities,” she said. “I am closely following the situation, and we will continue to provide timely updates through the Security Cabinet.”

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The pre-Hispanic city, located just outside Mexico City, was once one of the most significant cultural centers in Mesoamerica.

Fox News Digital has reached out to Canada’s foreign ministry for comment.

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‘Predators’: Amnesty slams Netanyahu Putin, Trump, as human rights decline

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‘Predators’: Amnesty slams Netanyahu Putin, Trump, as human rights decline

London, United Kingdom – Israel, Russia and the United States are leading the destruction of global human rights, Amnesty International has said, describing the three countries’ leaders as “voracious predators” intent upon economic and political domination.

“A global environment where primitive ferocity could flourish has been long in the making,” Agnes Callamard, the head of the global rights group, wrote in an annual report on the state of the world’s human rights that was released on Tuesday.

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In 2025, “sharp U-turns were taken away from the international order that had been imagined out of the ashes of the Holocaust and the utter destruction of world wars, and constructed slowly and painfully, albeit insufficiently, over these past 80 years,” she said.

In a news conference on Monday in London, Callamard said that most governments tend to appease the “predators” rather than confront them.

“Some even thought to imitate the bullies and the looters,” she said.

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Spain, however, which is an outlier in Europe for its criticism of Israel’s genocide against Palestinians in the Gaza Strip and US-Israeli attacks on Iran, “is standing above the double standard that is destroying the international system”, Callamard said.

She argued that Israel’s Prime Minister Benjamin Netanyahu, US President Donald Trump and Russia’s President Vladimir Putin, who in 2022 sent his forces into neighbouring Ukraine, have had an “absolutely dramatic” impact on the world.

Their conduct is “emboldening all of those that are tempted by similar behaviours,” said Callamard. “It is allowing for the multiplication of copycats around the world, and therefore what we are confronting now is much more aggressive and ferocious than what we had to confront three or four years ago.”

‘Authoritarian practices have intensified worldwide’

Amnesty’s review of the state of the world’s human rights makes for grim reading, documenting attacks on fundamental civil liberties in most nations.

“Authoritarian practices have intensified worldwide”, the report reads, before running through abuses alleged in countries from Afghanistan to Zimbabwe in 400 pages.

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Israel’s genocide in Gaza, Russia’s “crimes against humanity” in Ukraine, and the US-Israeli war on Iran were noted as examples of conflict in which international laws have been ignored.

In a section on repression, the United Kingdom is blamed for cracking down on the Palestine solidarity movement and Palestine Action, the direct-action group that targets sites associated with the Israeli military and is currently fighting a legal battle against its UK proscription as a “terrorist” organisation.

Afghanistan’s Taliban was responsible for further gender-based discrimination in 2025, the report noted, citing measures excluding women from education and work, while Nepalese authorities were said to have failed to investigate instances of gender-based violence against Dalit women.

Amnesty’s report comes as multiple conflicts rage across the world.

The US-Israeli assault on Iran has killed more than 3,000 people, while Israeli attacks in Lebanon have killed nearly 2,400. In Gaza, the confirmed number of people killed in Israeli attacks since October 2023 has surpassed 72,500 as the decimated territory is continually threatened by Israeli bombardment. In Ukraine, more than 15,000 have been killed since Russia’s full-scale invasion began more than four years ago.

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Conflicts in the Middle East are a “product of the descent into lawlessness, made possible by a vision of the world in which war-making and the killings of civilians are normalised”, said Callamard.

“No effective steps have been taken against Israel for its repeated, constant violation of basic standards of humanity.”

However, there is some room for optimism, Amnesty said.

It listed moments of “resistance” such as Gen Z-led protests; the growing number of states joining South Africa’s case against Israel’s genocide at the International Court of Justice (ICJ); the International Criminal Court’s (ICC) crimes against humanity charges against former Philippine President Rodrigo Duterte; the Council of Europe’s special tribunal for the crime of aggression against Ukraine; and the ICC’s arrest warrant against two Taliban leaders for “gender-based persecution”.

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