Tensions have been mounting between the United States and Argentina, as Argentine President Cristina Fernández de Kirchner forms allies with other nations in hopes of recovering from the “Vulture Capitalist” attacks of American hedge fund mogul Paul Singer. News recently broke about Argentina’s international cooperation with Russia and China, two superpowers that the United States is currently on volatile terms with.

Some political and financial insiders are dubbing the feud between Argentina and Paul Singer a new cold war. According to Buenos Aires reporter Benedict Mander, Argentina was recently defeated in the U.S. courts after a decade-long dispute with the business giant. Singer has been referred to as a “Vulture Capitalist” for the way he has preyed on failing business and governments, and for his ruthless approach to business. If you’re wondering why Singer was interested in Argentina in the first place, investigative journalist and author Greg Palast provides excellent, scathing background information on the topic.

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The “Casa Rosada”, the government building in Buenos Aires, the Capital of Argentina.

Regardless of Singer’s past dealings with Argentina, the country’s possible default has placed an international spotlight on it, and President Kirchner is actively reaching out for support. According to the New York Post, “After warning the international community its legal battle with Singer and other holdout bondholders is a political one, Kirchner has been busy lining up trade deals, investments and credit lines from [China and Russia] to help weather any fallout from a potential default,” of the alliances Argentina is presently securing.

Much to the surprise of Singer’s camp, Argentina is fighting back hard. Despite the country’s unsteady financial status, business heavyweights are still seeing great investment opportunities there. For example, hedge fund manager Daniel Loeb of Third Point has long been interested in investing in Argentina, and these recent legal and political battles haven’t swayed his financial instincts. “We hope to uncover additional investment opportunities in Argentina as it emerges from its long malaise,” Third Point recently expressed in a press release.

Although Argentina is down after its legal defeat in U.S. courts, don’t count this country out quite yet.

About 

Martin Ackerman is a freelance writer and current editor originally from Staten Island, NY. His university schooling focused on English education and Japanese. He has a (not so secret) passion for art history and political science. When he isn't writing or editing you can find him at sci-tech conventions, building the latest LEGO city or pampering his cat, Tea. You can follow him on Twitter @MarMackerman.