Peso up to 4.13 - Collapse Finally Here?
- Thread starter Joe
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ReemsterCARP
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If I would get a penny for every time somebody posts about the imminent collapse of the peso I'd be rich by now. That is, if no devaluation follows 
ReemsterCARP
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I just got a message that my post will only be visible to other users as soon as it has been approved by the moderator. Is this new board policy?
Joe said:Looking at a one year chart of the Arg Peso against the dollar today's move is unprecedented. What happened? Perhaps government insiders were allowed to cash out before a freeze on foreign exchange transactions?
It does seem to be an accelerating process over the last three months. Don't know why...
perry
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ptolemy said:
The dollar and peso are connected and as the dollar collapses the peso will devaluate but at a lower rate . This is obvious .
The dollar is devalualing at a downward spiral now meaning that inflation is now at record levels world wide .
gsi16386
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perry said:
The Dollar and Peso are connected???? And the peso will devaluate at a lower rate?? Am I reading this correctly? Clear that up for me...
No doubt inflation is eminent, but if you want to compare ARS to other forms of currencies, you'd be better off comparing it to the Cuban CUC, or VEF. I don't think there will be a collapse in the near future, but I don't know how things aren't worse then they really are. Things just seem to keep churning down here, but in no way shape or form means things are getting better. The corruption factor will prevent Argentina from having a global presence as no foreign corporation in their right minds would want to invest in a country whereby corruption is the only way to get things done. And this my friends is the fault of the people.
I think we'll find that the more and more Kirchner closes off the borders to foreign imports/investments, the greater the potential of a currency collapse will be. However, I don't this will happen anytime soon due to the fact that Soy is trading so high (prices are starting to simmer down though)...Just my opinion...
Hate to break it to everyone.........There isn't any serious indication a crash is on the way!
However, it is likely the dollar will try to pace with the rate of inflation so our buying power will remain the same.
All in all, the Argentine economy is doing quite well, is stable, and has no immediate indications of impending disaster.
And....at the end of the day......we all expect Argentina to be cheap because many of us know it that way.....But in any major big city (Moscow, New York, Paris, Tokyo), the cost of living is high. Relatively, the quality of life per dollar and 'first world' feel of Buenos Aires is unique among major cities.
At the end of the day, we probably shouldn't be waiting for 'the crash', we should be figuring out how to improve our incomes, trim our budgets, and be an integral part of the Argentine economy.
However, it is likely the dollar will try to pace with the rate of inflation so our buying power will remain the same.
All in all, the Argentine economy is doing quite well, is stable, and has no immediate indications of impending disaster.
And....at the end of the day......we all expect Argentina to be cheap because many of us know it that way.....But in any major big city (Moscow, New York, Paris, Tokyo), the cost of living is high. Relatively, the quality of life per dollar and 'first world' feel of Buenos Aires is unique among major cities.
At the end of the day, we probably shouldn't be waiting for 'the crash', we should be figuring out how to improve our incomes, trim our budgets, and be an integral part of the Argentine economy.
