Sen. Elizabeth Warren (D-Mass.) on Sunday challenged President Donald Trump's decision to extend a $20 billion currency swap to stabilize Argentina's peso, asking how the move squares with "America First" as a U.S. government shutdown persists and living costs rise.
Warren's Challenges ‘America First' Rationale
"Trump is sending $40 billion to bail out hedge funds and his political ally in Argentina. But here at home, he's shutting down our government and raising health care costs. So much for ‘America First,'" Warren wrote on X, posting a video that said, in part, "Instead of fixing those problems, the Trump administration sent Argentina $20 billion… They bought up billions of dollars in pesos, and are still pushing Wall Street to kick in another $20 billion… It made hedge funds richer and it helped Trump's political ally overseas, but it sure didn't help American families."
Warren last week accused Treasury Secretary Scott Bessent and Trump of "buying" Argentina's midterm elections for President Javier Milei, pointing to a Treasury-finalized $20 billion swap alongside open-market peso purchases and a planned $20 billion private facility. Bessent has defended the approach as strategically important and said taxpayers won't lose money.
Democrats Press Treasury As Farm Exports Lag
On Oct. 23, Warren and Sen. Amy Klobuchar (D-Minn.) led a group of Democrats urging the Treasury to reverse course, arguing that the swap puts a foreign government ahead of struggling U.S. farmers. This came as large Argentine soybean shipments were being made to China.
Her latest jab lands as the shutdown squeezes households. A coalition of Democratic-led states has sued to force SNAP funding for November, and economists warn prolonged closures are now "materially" denting growth. Republicans counter that Democrats should vote to reopen the government first.
Backers Cite Stability, Critics Decry Foreign Bailout
Supporters of the Argentina package argue that bolstering a key regional ally helps curb instability and counter China's influence. Critics call it a politically timed bailout that benefits investors abroad while U.S. families face higher prices and suspended services at home.
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