...until now. (link via PJMedia as FT is partly paywalled)
Classic Peronist thuggery by the Argentine government: A legislative decree nationalizing all the Repsol shares on an uncompensated (at least as presented) basis.
Spain, reacting to this both as proxy for Repsol *and* because of the massive position of Spanish and other EU banks in Repsol is rightfully furious. Here's the BBC version of that story:
Promising a "clear and overwhelming" response, Spain summoned the Argentine ambassador to express its concern....and were this "the old days", said ambassador would shortly be headed home with an ultimatum "backed by the sovereign power" of Spain. That's *probably* not the message this time. What is in the package, however, is almost certainly statement of a joint Spanish-EU opposition to the nationalization of YPS shares (and only the foreign-owned shares) by Argentina and the implication of what the EU could do to Argentina's export markets by sanction.
Meanwhile, real harm has already resulted: Repsol-YPS CDS Surge (CDS being Credit Default Swaps).
Argentina is rapidly managing to offend most all of their trading partners and what few friends they have left. The Chavistas are still on their side, but that's like having the Mafia think highly of you... maybe helpful, but rarely a good character reference. Oh, I guess we have to count inept but vaguely supportive guys, too.
The rest of us, however, would like to see Argentine President Cristina Fernandez de Kirchner take some lumps for this latest outrage.