Commodity producing countries under pressure (political/economic - update 1). Argentina

As compared against the Brazilian IBOVESPA index, major commodity producing countries such as Argentina (MERVEL index) and Brazil are showing downside pressure on stocks, these dramatic sell off's could be spill over from the US 'double dip' recession fears or (more likely) China growth stalling and falling into a hard landing.

Politically Argentina is facing some internal issues that effected the Argentinian market on Monday 23rd as the Merval dropped 70.34 points closing at 2368


What will be interesting to follow is the political wrangling that is taking place in the commodity producing countries which also include South Africa and Australia.

If China is slowing down hard, political environments in the South America and Australia/South African may become more tumultuous

Please refer to the article in the Buenos Aires Herald re: Union power now increasing in Argentina, please go to this link