Analysis-Investors bullish on Latin America after US move on Venezuela's Maduro

Government supporters participate in a march calling for the release of Venezuela's ousted president, Nicolas Maduro, days after he and his wife Cilia Flores were captured following U.S. strikes on Venezuela, in Caracas, Venezuela, January 7, 2026. REUTERS/Gaby Oraa

NEW YORK/LONDON, Jan 8 (Reuters) - U.S. President Donald Trump's ‌muscular moves in Venezuela and Argentina are adding to a rightward shift across Latin America in a pivotal election year, making foreign cash more likely to flow to the region as ‌investors anticipate market-friendly reforms.

The U.S. removal of President Nicolas Maduro over the weekend sent Venezuela's defaulted debt soaring, while Trump's gamble last year to bolster Argentina's Javier Milei - an ideological ‌ally - with a financial backstop of up to $40 billion paid off when Milei's party did well in crucial midterm elections.