In spite of Argentine authorities' repeated denials with regard to touching peoples dollar deposits, the "pesoization" fears in that country persist. Argentina's dollar depositors are quickly taking dollars out of the banking system. Most funds are moving into banks abroad, while some get placed "under people's mattresses" in the form of notes. The chart below shows private sector dollar deposits since the beginning of May.
Argentina's private sector dollar deposits are now 42.3% below the $14.8bn peak reached in October of 2011 and down 29% from the beginning of May 2012.
As the government gradually takes control of the energy industry, depositors and investors are not waiting around to find out who the Fernández de Kirchner's administration will target next.