Introduction
It's been two weeks since the Peronistas won Argentina's presidential election and the shares of companies focused on the country are in the doldrums. The peso is in a free fall, having lost more than 25% of its value against the US dollar since August, while political observers are predicting the return of Kirchnerismo. Many economists see tax increases, including export duties as well as taxes for corporates and individuals.
The main idea of contrarian investing is to buy when there's blood on the streets and this appears to be very true in Argentina