Assume that Argentina keeps a fixed exchange rate with respect to the Brazilian currency and that the Brazilian central bank decides to lower the money supply in Brazil. Following the monetary contraction in Brazil and to maintain its exchange rate, the Argentinean central bank should ______________ Argentinean currency in the foreign exchange market, which leads to a _________ in the money supply in Argentina.

• A. buy; increase.
• B. buy; decrease.
• C. sell; increase.
• D. sell; decrease.