Fresh economic data show Argentina's wages and consumer confidence improving, even as the country's risk premium climbs past 700 points. Markets are already looking ahead to the 2027 elections for direction.

Paraguay's central bank unanimously held its policy rate at 5.50% after annual inflation eased to 1.7% in September, keeping borrowing costs unchanged for now.

U.S. Treasury yields posted their sharpest one-day drop since the 2023 banking crisis as investors rushed into government bonds amid a broader tech-stock sell-off. Analysts described the move as a flight to safety rather than a signal of imminent recession.

The central bank lifted its policy rate sharply as the country reels from war-fuelled price rises and faces further risk from an approaching 'super' El Nino.

Argentina's economy looks set for recession after August data confounded hopes of a rebound from July's sharp contraction.

Argentina's country risk index climbed to its highest level in 11 months, as investors grow more cautious about President Javier Milei's economic agenda heading into the pre-election period.

Brazilian tax authority data shows stablecoins made up 80.2% of declared crypto volume in 2025, led by Tether's USDT at 72%, challenging the assumption that bitcoin dominates Latin American crypto activity.

Japan's Ministry of Finance sold 20-year government bonds on Tuesday to the strongest investor demand on record for that maturity. Elevated yields drew renewed buying from domestic institutions.

Difference between French and German borrowing costs widens after public buildings burned and shops looted

France has been hit by a fresh wave of selling in its bond and stock markets after violent protests over the weekend led to thousands of arrests and left public buildings burned and hundreds of shops looted across the country.

The chaos has spooked investors as analysts worried that it would undermine Paris’s efforts to cut spending and reduce its debt.

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© Photograph: SDIS 87/AFP/Getty Images

© Photograph: SDIS 87/AFP/Getty Images

© Photograph: SDIS 87/AFP/Getty Images