Significant news about peso exchange rate

[jimdepalermo]

YThe laws of economics always work. I think of it like the laws of physics and energy. Though a piece of wood can't do anything on it's own there is latent energy stored inside. When heat is applied that energy is released. In economics I think of latent energy as those ideas that, when given capital to evolve, release their energy. Yes, both sides can win. I'm sure there are holes in the way I've tried to explain it.

Here are couple readings that may convince you otherwise.

http://www.georgesoros.com/intervie...ks_at_the_festival_of_economics_trento_italy/

http://www.nytimes.com/2009/09/06/magazine/06Economic-t.html?pagewanted=all

 

[dennisr]

http://www.ambito.com/noticia.asp?id=639712

http://translate.google.com/transla...TF-8&layout=2&eotf=1&u=http://www.ambito.com/

 

[el_expatriado]

http://www.ambito.com/noticia.asp?id=639712

http://translate.google.com/transla...TF-8&layout=2&eotf=1&u=http://www.ambito.com/

There were no operations today. I called up and tried to get some of Aníbal Fernandez's dollars at 5.10, but no one was selling dollars at that price. It's all a bunch of smoke and mirrors.

 

[ElQueso]

There were no operations today. I called up and tried to get some of Aníbal Fernandez's dollars at 5.10, but no one was selling dollars at that price. It's all a bunch of smoke and mirrors.

Except it affects the price at which (at least today and probably tomorrow) the change places, the small black market ones, are buying dollars.

Best price I could find today was 5.45, but they didn't have enough pesos to buy what I was selling.

I was told in the next few days the prices should be back more like what they have been recently.

 

[surfing]

Except it affects the price at which (at least today and probably tomorrow) the change places, the small black market ones, are buying dollars.

Best price I could find today was 5.45, but they didn't have enough pesos to buy what I was selling.

I was told in the next few days the prices should be back more like what they have been recently.

"Best price I could find today was 5.45, but they didn't have enough pesos to buy what I was selling."

That says it all.

 

[notebook.fix]

Apparently the announcement last week by Hannibal was an improvised move designed to test the market as they r desperate & don't know how to stop the widening gap between the official & the blue (real rate). This is a sign that they are in a panic & have run out of ideas on what to do next.

 

[gusgutier]

The market is free. The problem is when governments decide to pick winners and losers and stop the market from functioning properly. Even then, however, the market will find a way. Capitalism is the natural result of leaving people to their own devices.

And I'm sorry, but countries can and do misbehave as much (or more) than any private person or company. Today when a country defaults on its foreign debts the worse it faces is a credit lockout and vulture funds. Back in the day a default on your foreign debt meant the British blockading your ports with gunships and taxing all imports and exports until the debt was repaid.

Today the penalties for defaulting are not so severe.

Is your name A. Smith ?

 

[surfing]

Except it affects the price at which (at least today and probably tomorrow) the change places, the small black market ones, are buying dollars.

Best price I could find today was 5.45, but they didn't have enough pesos to buy what I was selling.

I was told in the next few days the prices should be back more like what they have been recently.

"Best price I could find today was 5.45, but they didn't have enough pesos to buy what I was selling.

I was told in the next few days the prices should be back more like what they have been recently." -----When, I imagine they will magically have "enough pesos"!

 

[BienTeVeo]

Another twist: http://www.lanacion.com.ar/1479284-la-afip-desautorizo-la-gestion-de-moreno-para-bajar-el-dolar

This is interesting. Apparently Moreno went rogue. According to Etchegaray (head of AFIP), "Ningún funcionario tiene instrucciones de la Presidenta para reunirse con personas que están en el mercado ilegal". Either AFIP (speaking for CFK) is simply recognizing the questionable legality of Moreno's move, or AFIP is in a power struggle with Moreno, or there is disagreement over how to get out of this thicket (how could there not be?!), or some combination of all three. What is clear is that they are in disarray. They don't know what they're doing.

 

[Napoleon]

Another twist:

...Either AFIP (speaking for CFK) is simply recognizing the questionable legality of Moreno's move, or AFIP is in a power struggle with Moreno, or there is disagreement over how to get out of this thicket (how could there not be?!), or some combination of all three. What is clear is that they are in disarray. They don't know what they're doing.

Well that's been clear for a while now!