Effects Of A Default On Expats

[wild_horses]

If the majority of the people in Argentina save in (Argentine) pesos the root cause of all Argentina's economical problems are explained, because then the majority of the people in Argentina have one- or, at most, two-digit IQs.

No Argentino I have ever met would ever dream of saving in Argentine pesos.

Hi,

A phatetic comment for a phatetic person, well done!

Cheers!

 

[wild_horses]

Saving in pesos... What other investment can perform so well and lose you 30% annually.

Hi,

You are quite wrong actually. If you put your pesos in the bank you can get up to 25% interest, so you are not loosing big time, plus salaries increases have been higher than the inflation rate, apart from 2014 and the second half of 2013.

Cheers!

 

[Matiasba]

There surely are argentine people saving in pesos but as I said there are low amounts, something like 500 pesos per month or so. The people that can save more than that, have the education and the knowledge to avoid loosing it due inflation and go directly to dollars. Of course the higher you go in the social scale, the more people you find saving, and the more weight the dollar has compared with the peso. So if there are argentines saving in pesos they are from the lower strata and small amounts.

 

[Matiasba]

Matías, your capacity for rationalizing the irrational appears limitless. If people can't save in a stable currency, they will spend it as quickly as possible because next month it will be worth a fraction of its present value. This is not a virtuous cycle.

There is a virtuous cycle in the K economy, there is consumption at the higher levels we ever experimented, there is growth, unstoppable like for 10 years! there is low unemployment, do you think this happens by accident? do you think this is no planned? of course you also have inflation, kind of the other reason to explain consumption. Its a demand inflation, lots of people excluded from formal economy in the 90s and earlier 2000s today have pesos (because the huge social plans), those pesos that are spilled and expand the economy, there is a virtuous cycle dont say theres not.

 

[Rich One]

There surely are argentine people saving in pesos but as I said there are low amounts, something like 500 pesos per month or so. The people that can save more than that, have the education and the knowledge to avoid loosing it due inflation and go directly to dollars. Of course the higher you go in the social scale, the more people you find saving, and the more weight the dollar has compared with the peso. So if there are argentines saving in pesos they are from the lower strata and small amounts.

The dollars purchased at the bank for savings at official rate was about US$270 million last month at the official rate. The average purchase about US$500 so we are talking of 540.000 people that saved ! or 1.35% . Does this make any sense? Perhaps this represent a fraction of the ones that buy at the cuevas, Does it exceed 10 %???

 

[Matiasba]

the dollar blue market is very small, I heard is something like 2 million dollars per day.

 

[Gringoboy]

Hi,

You are quite wrong actually. If you put your pesos in the bank you can get up to 25% interest, so you are not loosing big time, plus salaries increases have been higher than the inflation rate, apart from 2014 and the second half of 2013.

Cheers!

25% return?
Where?

 

[Don Alberto]

The blue dollar market is about 40 million a day.
Now you have heard that it is 40 million a day.

The blue dollar market is about half a million a day.
Now you have heard that it is half a million a day.

The blue dollar market is about 7 million a day.
Now you have heard that it is 7 million a day.

Truth is that any hearsay about the size of the blue dollar market is hearsay and guesswork. What is written on the walls of the public toilets isn't trustworthy.

 

[dennisr]

The blue dollar market is about 40 million a day.
Now you have heard that it is 40 million a day.

The blue dollar market is about half a million a day.
Now you have heard that it is half a million a day.

The blue dollar market is about 7 million a day.
Now you have heard that it is 7 million a day.

Truth is that any hearsay about the size of the blue dollar market is hearsay and guesswork. What is written on the walls of the public toilets isn't trustworthy.

Blue is big business young man, maybe listen once in awhile and you may learn something.

Last week blue $ volume was at its lowest in history, less than $4 million. High end, $50 million a day is exchanged.

http://www.cronista.com/finanzasmercados/Se-desinflo-el-blue-hasta--1280-con-el-volumen-en-un-minimo-historico-20140730-0040.html

 

[Matiasba]

Blue is big business young man, maybe listen once in awhile and you may learn something.

Last week blue $ volume was at its lowest in history, less than $4 million. High end, $50 million a day is exchanged.

http://www.cronista....40730-0040.html

didnt know that. In any case, the size of the blue dollar market is very tiny compared to the official...