Argentina: Economic activity speeds up in June
Latest reading: Economic activity was up 2.7% in annual terms in June, following a 0.4% increase in the prior month.
Relative to the previous month’s figures, readings in June improved for agriculture (+4.6% in annual terms vs +4.1% in May), manufacturing (+1.9% vs -5.6% in May) and transport and communications (+1.5% vs +0.7% in May). In contrast, readings worsened for construction (+2.8% vs +3.3% in May) and hotels and restaurants (+1.8% vs +3.1% in May).
On a month-on-month basis, economic activity rose 0.8% in June, following a 0.6% fall in the prior month.
Panelist insight: On the reading and outlook, Goldman Sachs’ Sergio Armella said:
“Growth was positive in June, but it has been choppy so far this year. In general, the performance of the economy softened in the second quarter and real GDP, as measured by the EMAE monthly activity indicator, contracted by 0.9% qoq sa. We assess marked downside risks to our 2.7% growth forecast in 2026, as it would require a meaningful rebound in second half of the year.”