MercoPress. South Atlantic News Agency
Cristina Fernandez pledges ‘no Peso devaluation’, but markets are not convinced
In a clear signal to the markets, President Cristina Fernández de Kirchner strongly rejected on Monday a possible devaluation of the Argentine Peso and targeted sectors advocating for such a measure, as she warned that “those hoping to profit from it will have to wait for a different Government.” Read full article
Comments
Disclaimer & comment rulesCome on Cristina, arm a little straighter...like uncle Adolf taught you.
May 07th, 2013 - 06:20 am - Link - Report abuse 0She looks like a puppet who's had it's strings cut.....
May 07th, 2013 - 06:24 am - Link - Report abuse 0Is that morning-after-the-night-before look she's got going on there on purpose or does she always look like that these days?
Time will tell, time will tell.
May 07th, 2013 - 06:46 am - Link - Report abuse 0Sometimes it takes several factors converging for the real problem to finally be revealed.
CFK's government can keep their heads in the sand as long as they like.
'those hoping to make money at the behest of devaluation will have to wait..' .... I guess that would be the middle class .. again ... poor buggers.
May 07th, 2013 - 07:23 am - Link - Report abuse 0I love this bit: Vice-president and economist Amado Boudou said that that to talk about the blue dollar and devaluation is an exaggeration, a ‘marginal issue’ because “since 2003 the exchange rate has not suffered problems”.
May 07th, 2013 - 08:01 am - Link - Report abuse 0Err...did he miss the point where it's 2013 and not 2003? Does he really believe that nothing ever changes?
Is he really an economist? I mean, if the imminent devaluation of the currency is a marginal issue, just what does he believe to be a 'significant' issue?
What a fool! No wonder Argentina's economy is tanking with people like him running (or should that be ruining) it.
woodoo is under paranoia as ck and the rest of her governmental gang.
May 07th, 2013 - 08:20 am - Link - Report abuse 0all what they want to save is their own money and power. no matter what “the poor” suffer.
1. If this is speculation from a tiny minority of the population then why are they even giving it air time if it matters so little;
May 07th, 2013 - 08:51 am - Link - Report abuse 02. “these rumours and versions surface because we’re in an electoral process; this is typical”. Please, thre are easier and cheaper things to do than manipulate the ”marginal” market and thus try to change to outcome of an election. I you wanted to bring down the gov you would jkus march, march and march again;
3. Interesting that this is being framed in the political languge of an attck on the Gov/Republic;
4. The Blue is where it is as a result of market forces. The gov rate is not sustainable and it obviously does not keep or maintain a healthy balance between exports and imports, the trade balance is a testament to this; and
5. Basic economics. In the end things are worth what someone will poay for them, not what you think they are worth. My house is on the market for £750k. I would LIKE someone to pay that much for it but, in the end, I will just have to accept that, aftering , marketing it for a decent time I will end up selling it for a price that someone is willing to pay. It is really, really simple.
I've said this before if this gov't comes out with some big pronouncement the exactly opposite will really happen.
May 07th, 2013 - 10:35 am - Link - Report abuse 0Now the waiting begins
I still think the devaluded rate is somewhere between 16-20.
Juice the ecnomy and hope it gets you through the next election
How many times have they done that there
Nuevo Austral must be right around the corner
I wonder if they'll wait until it's 10,000/1 before they switch?
For the British chaps amongst you this is very similar to the grand plan of everyone getting out of their trenches and walking very slowly towards the enemy...
May 07th, 2013 - 10:42 am - Link - Report abuse 0@9 Indeed. Lions led by donkeys.
May 07th, 2013 - 10:58 am - Link - Report abuse 0Where do we think the flip is here? There is magic number after which people will start to, exponentially, lose money hand over fist...it can't be that far away. 12/1, 13/1?
May 07th, 2013 - 11:28 am - Link - Report abuse 0Well her secretary of commerce said it would trade at around 6 pesos to the dollar by the end of 2013, so why is she blaming those that make money at the behest of devaluation? Who wants it to get worse? Who's the bad guy?
May 07th, 2013 - 12:39 pm - Link - Report abuse 0http://www.argentinaindependent.com/tag/peso/
--we have 10 years in office--
May 07th, 2013 - 12:57 pm - Link - Report abuse 0How many more decades do they need for Argentina's economy to stabilise even though 'the model' is 'excellent'?! With all the resources Argentina has this is the best they can do?!
Jesus Argentines sort it out once and for all! It is desperately bad when politicians have no shame in talking completely refuteable Soviet Russia style bare faced bollocks and stop parading yourself as the most sophisticated, european country of SA - because you aint. It is simply a country ruled and plundered by out and out shameless thieves.
Even the master of new a mixed methods approach to economics Mr Think agreed devaluation was the logical course of action. This country is so screwed it doesn't know it's arse from it elbow.
May 07th, 2013 - 01:16 pm - Link - Report abuse 0By by Argentina into another economic mess. Although the Argie contributors will no doubt defend their government's economic policy even when they cannot draw their own money from the banks.
“She went on to underline that 'we have ten years in office, we didn’t start yesterday'”
May 07th, 2013 - 01:23 pm - Link - Report abuse 0Yup, that's how it goes in Argentina, every ten years default.
Just how stupid is it possible to be and still run a country? No one deliberately run a “devaluation policy” you stupid XXXX! Devaluation is a consequence of an unsustainable economic policy, often combined with various failed efforts to control the currency exchange rate.
May 07th, 2013 - 02:44 pm - Link - Report abuse 0If you don't want to devalue then don't have a policy that will make it unavoidable.
$9.94/1
May 07th, 2013 - 02:45 pm - Link - Report abuse 0I guess no one believed the old bag lady's speechifying last night.
I think it is because her wig is always dirty and crooked
I actually think they need this distraction given all the skeletons coming out of the K's closets this week. It must be like the Silly Symphony in CFK's bedroom.
May 07th, 2013 - 02:58 pm - Link - Report abuse 0Yeah TN is having a hard time on which scandal or crisis to use as a headline!
May 07th, 2013 - 03:03 pm - Link - Report abuse 0Now IBM is saying they were forced to paybribes too.
This is all spinning out of control quite nicely
quite nicely indeed
@18 ElaineB
May 07th, 2013 - 03:17 pm - Link - Report abuse 0What skeletons? How is her government entertaining the rest of the world this week?
CFK has spoken in absolutes before but caved. “Not one dollar”.
They could still devalue, right?
Annnnnnnnnnd....it's hit 10/1 again by midday
May 07th, 2013 - 03:21 pm - Link - Report abuse 0Ahh 10/1
May 07th, 2013 - 03:22 pm - Link - Report abuse 0does everyone feel it?
The Messi dolar as they say
love is in the air
Next up 11 and I bet it is faster than 9 was to 10
Yup, there seems to have been a bit of flirtation with the 10 mark. Now it's lost it wings it will probably shark its way quickly to 11
May 07th, 2013 - 03:27 pm - Link - Report abuse 0There is no denying it is in free fall.
May 07th, 2013 - 03:29 pm - Link - Report abuse 0Where it stops nobody knows
@24
May 07th, 2013 - 03:36 pm - Link - Report abuse 0Re. my point at 11, where do you think the magic number is whereby it flips from people being able to absorb a loss to people shedding cash with every day?
Can anyone give me a website that gives the current 'Blue' dollar value?
May 07th, 2013 - 03:42 pm - Link - Report abuse 0Thanks
I want to ask,
May 07th, 2013 - 03:42 pm - Link - Report abuse 0What do the speculators get for selling dollars and receiving Arg pesos?
Why do they want Arg pesos? How is it profitable for them to have Arg pesos? What can they do with Arg pesos that makes them worth something?
http://www.preciodolarblue.com.ar/
May 07th, 2013 - 03:47 pm - Link - Report abuse 0@20 Most interesting is the revelations surrounding Nestor's corruption and money laundering. For years allegations about how the K's and their buddies have acquired so much wealth during their time in power have circulated but they have managed to stifle investigations. But CFK is on her way out and losing power to control the information. The people she trod on to scramble her way to the top of the power ladder are lining up to kick her on the way down.
May 07th, 2013 - 03:51 pm - Link - Report abuse 0Nestor's former secretary knows where the bodies are buried and has been singing like a canary. (CFK dismissed her immediately after Nestor's death without explanation). Now it seems that the vaults in CFK's home are to be inspected. Why would they need such large vaults is obvious but I doubt there is much left in them, they have been moving money abroad for years. Though I would laugh if there is suddenly some landscaping in CFK'c garden. Fat Max and his gang burying the loot.
You should read some of the Argentine newspapers, it is great entertainment.
I hadn't heard about the vaults bit. Although teling her that they will be inspected would amount to “tipping off” in any country which operates by rule of law.
May 07th, 2013 - 03:56 pm - Link - Report abuse 0Does anyone know how the blue dollar market works? In particular, how do the currency traders get hold of the USD they sell.
May 07th, 2013 - 03:57 pm - Link - Report abuse 010.06/1
May 07th, 2013 - 04:07 pm - Link - Report abuse 0Welch, I have alway thought the panic number is 10/1 we'll see very shortly if I was right.
31. Some come from tourists that dont' want 1/2 of the pesos if they have to use the gov't rate.
28 Welsh Wizard
May 07th, 2013 - 04:12 pm - Link - Report abuse 0Thank you.
I'm stunned at how quickly things have gone to shit in Argentina. I knew it was bad but wow!
May 07th, 2013 - 04:22 pm - Link - Report abuse 0@32
May 07th, 2013 - 04:34 pm - Link - Report abuse 0The blue market is very small then.
So if panic sets in, there is not much the average Argie can do about it.
34. It has been a long slag of terrible decsicions starting with the crosseyed wonder. One mis-step after another culminating in another currency crisis. Except this time EVERY SINGLE ORG is bankrupt. All the the assets have been stolen and either spirited out of the country or used to buy the people.
May 07th, 2013 - 04:47 pm - Link - Report abuse 0Anses, BCRA, YPF etc etc etc all the U$ is gone
but
They still owe, and it will be show shortly 100s of Billions of U$ to out side orgs.
The next gov't is going to have a nice mess to clean up
1 U$D = AR$ 10.08...
May 07th, 2013 - 04:49 pm - Link - Report abuse 0I can't spot thinking about DBerger comments..“Argentina is not in crisis”...
It reminds me of the 1st time I went to Eastern Europe right after they started allowing Western Tourists
May 07th, 2013 - 04:51 pm - Link - Report abuse 0American change money?
American change money?
Same place I also had all the clothes in my suitcase washed and ironed for U$6!
36 yankeeboy
May 07th, 2013 - 05:09 pm - Link - Report abuse 0Yes, if you just think about what they are up against: literally ALL the population are pulling stunts to 'get ahead' and not pay their way. AND that’s without the cancer that is Peronism eating away at the country.
If it were a company my group had taken over then after realising how big the problem is I would have shut the company down (and taken the employment compensation hit) then started somewhere else with a new workforce on new contracts.
But never in AR or Uruguay, the commie unions have got the government by the balls.
But it is not a company and it most certainly IS NOT a respectable country. I have to admit the only way that is likely to work is a true dictatorship and probably execution for those that have stolen more than a million pesos or 200k USD.
I bet the money would suddenly appear once the killings started.
Chris, I have thought the same for a very long time. Argentina can not function as a democracy until they take some strong medicine like thier bretheren on the other side of the mountains did a generation ago.
May 07th, 2013 - 05:20 pm - Link - Report abuse 0I actually hope there is no blood spilled, that CFK and her gang spend time in prison (not in some friend's house as is so common for the rich in Argentina) and are released only when time is served and if they return every peso they stole. However, watching the behaviour of the crowd at the Boca Juniors vs. River Plate game at the weekend, I think they will be lucky to get out alive.
May 07th, 2013 - 05:21 pm - Link - Report abuse 0Like all good Dictators she has already overstayed her welcome. I can't imagine this ending well.
May 07th, 2013 - 05:24 pm - Link - Report abuse 0As I have said neither she or her family will ever get to spend any part of that loot,
The deep shame is that so many are implicated in corruption. CFK and her goons just represent the tip. If CFK and her goons get punished then a whole load of of other politicians, socios of business, judges, police etc would have to be punished and of course all the millions that depend on the corruption through state employment and benefits payments would suffer too. Like I say the fact that Menem is still a politician after all the allegations that everyone - from both sides - says it all. It shows why CFK etc have the gall to do the same. At the very best - if she doesnt flee the country - she'd get a very long drawn out on/off trial over a decade or 2 and then a minimal sentence perhaps just house arrest due to 'ill health' .
May 07th, 2013 - 05:25 pm - Link - Report abuse 0The culture of irresponsibility and selfishness is just too strong. Its a vicious cycle. Argentina needs a huge meltdown like 2001 but with bells on it and properly drawn out - to wake them up. Its all about collective responsibility and believing they can change things for the better.
@ 27 “What do the speculators get for selling dollars and receiving Arg pesos?”
May 07th, 2013 - 05:45 pm - Link - Report abuse 0They can buy anything valued in Peso very cheaply, half the normal price effectively. If you can find something exportable you can sell it abroad at bargain prices and still make a huge profit - in real money not KFC Monopoly money, then just repeat.
No doubt the trolls will be on here soon, trying to distract from the 10-1 blue dollar exchange rate by either insulting people, or by picking a random incident in some country and trying to divert attention onto that.
May 07th, 2013 - 06:31 pm - Link - Report abuse 0In other words their normal modus operandi.
@45
May 07th, 2013 - 06:51 pm - Link - Report abuse 0“or by picking a random incident in some country and trying to divert attention onto that.”
Nothing to see here...
http://clip2net.com/s/51ZGFT
Move along and see the assertion of Argentine sovereignty over the usurpers.
http://clip2net.com/s/51ZGFT
The mullet headed minister and the rest of the stooges are having an emergency press conference.
May 07th, 2013 - 07:24 pm - Link - Report abuse 0Betcha this just makes if worse tomorrow
Come on snake eyes!!
Dos unos
This?
May 07th, 2013 - 07:54 pm - Link - Report abuse 0'The Government launches a money laundering scheme to attract the dollars out of the system'
@48 ElaineB
May 07th, 2013 - 07:56 pm - Link - Report abuse 0And I thought I was cynical!!!!
That was the headline in Clarin. Breaking news.
May 07th, 2013 - 07:57 pm - Link - Report abuse 0Who would be stupid enough to buy U$ Rg bonds when ther're clearly on the verge of another collapse?
May 07th, 2013 - 07:57 pm - Link - Report abuse 0Those idiots have no idea what they're doing.
No, no, I am certain everyone that has savings in dollar, or dollars squirrelled away in vaults, will rush to hand over the money to the government in exchange for dropping the charges, I mean, a worthless piece of paper.
May 07th, 2013 - 08:02 pm - Link - Report abuse 0It's under a mattress for a reason.
May 07th, 2013 - 08:14 pm - Link - Report abuse 0This is going to end up with another forced pesification @ 5/1 then they'll devalue to 16-20/1.
any time now
@52 - ElaineB
May 07th, 2013 - 08:18 pm - Link - Report abuse 0Well I've been convinced. Where can I throw away...er...trade...my hard earned cash into worthless toilet paper? The Argentine Embassy?
@53 - yankeeboy
I bow to your predictions, they have all come to pass so far.
You don't happen to know this Friday's Euromillions lottery numbers by any chance? ;D
41 ElaineB
May 07th, 2013 - 08:29 pm - Link - Report abuse 0“I actually hope there is no blood spilled”
Whilst that is a very laudable sentiment how do you think the message of social responsibility will ever get through to the masses if the extremely rich and their hangers on proceed as before under a new government unless there are executions under the rule of law for such crimes?
What would you do to ensure the problem is dealt with, once and for all?
You have often said that these people look upon it as a badge of honour to rob the people who DO pay the correct tax and civil charges by not paying theirs. In my experience only a real shock like execution of the ringleaders EVER makes a difference.
Children have to be afraid of corporal punishment, even if it is only threatened as long as they have tasted the real thing, once. It seems to me that the majority of the Argentines act like naughty children.
Well thank you!
May 07th, 2013 - 08:40 pm - Link - Report abuse 0Unfortunatly I am not a fortune teller the signs are all there if you know what to look for.
Next up
Cornered animals
biting and snarling
careful careful
It could get masssy
@55 We have different ideas about punishment, and that's fine.
May 07th, 2013 - 08:50 pm - Link - Report abuse 0Personally, I think CFK behind bars would be the worst punishment for her. I just cannot see it happening.
It is true that corruption is endemic from the top to the bottom of society. It will require a change of thinking in society where robbing and cheating becomes socially unacceptable. It can be done, but it would take a major campaign led by someone with charisma to start it. I guess the fact that they are used to being told what to think is a good starting point. Start in the nurseries.
I'll be CFK has the helicopter all fuelled up...assuming they can afford the fuel...for a quick getaway from the angry mob that'll soon be at her heels.
May 07th, 2013 - 09:02 pm - Link - Report abuse 0The worst punishment CFK should face (short of a public lynching) would be life imprisonment, with only the promise of parole if she gives back all the money she has stolen from the Argentine people (stuffed away in off-shore bank accounts).
What she will never be is Eva Peron, which is what she really wants her legacy to be, to be remembered and revered as Eva was.
Of course, Cristina is far too coarse, greedy, corrupt and responsible for Argentina's current woes, which is why it'll never happen.
She may get lynched (probably unlikely it will depend how angry the 'mob' is), but I have a feeling that she'll leg it and spend the rest of her life in Cuba, no doubt paying the Castro brothers an extortionate amount to stay there.
She'll never be able to leave, because she'll have international arrest warrants out for her. Maybe she could join Julian Assange in the Ecuadorean embassy? ;)
Executions are over far to quickly. Now a public flogging or two might get some of them to mend their ways.
May 07th, 2013 - 09:05 pm - Link - Report abuse 0I know human rights and all that but have 'they' respected human rights?
Not to worry Cristina, your new buddy Maduro is coming to town with Chavez in the form of a singing bird on his shoulder, Maybe he will suggest the next time you make a public announcement to wear a straw hat in the hope people feel sorry for you & they go sign up with your recovery plan totally blinded that the dollars will disspear which only leaves you with toilet paper to go wipe your a$$....
May 07th, 2013 - 10:02 pm - Link - Report abuse 058 LEPRecon
May 07th, 2013 - 10:22 pm - Link - Report abuse 0Given that nobody with half-a-brain would fly AA, would you fly in a helicopter maintained in AR?
Remember why they call it the Jesus nut!
LOLs
So where does it all stop then?
May 07th, 2013 - 11:42 pm - Link - Report abuse 0How soon before it's 12, 13 peso's to the dollar???
How soon before people are having their houses robbed of food?
You don't think she has taken a leaf out of Robert Mugabe's book do you? and will promise food parcels to all those who vote for her?
The Adams Family
May 08th, 2013 - 02:54 pm - Link - Report abuse 0http://www.cronista.com/economiapolitica/Longobardi-comparo-al-gabinete-economico-con-los-Locos-Adams-20130508-0114.html
http://www.urgente24.com/sites/default/files/notas/2013/05/09/viuda%20oficial.jpg ?
May 12th, 2013 - 05:39 am - Link - Report abuse 0It's not the RG people's fault. It's the their muppet leaders, they couldn't lead a boiled egg.
May 13th, 2013 - 03:03 pm - Link - Report abuse 065 Smiley-Face
May 13th, 2013 - 07:32 pm - Link - Report abuse 0There is real merit in what you write but although I used to think that, the likes of Simon68, a very respectable Argentine and my next door neighbour and all his family who are also Argentines and live in BsAs have convinced me it is endemic and beyond the normal persons control.
The Peronistas wouldn't know one end of a book from another unless it was 'approved' reading and act like leemings everytime there is a Presidential and general election.
The place is bollocksed I am afraid and the respectable people are on a nightmare ride and can do nothing about it.
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