MercoPress. South Atlantic News Agency
Trying to gauge the impact of Argentina's situation in Mercosur partners
Argentina’s debt problems threatens to worsen trade tensions in Mercosur, adding to the economic woes of Brazil in a tense election year and causing headaches in Uruguay as the Argentine economy looks likely to plunge deeper into recession. Read full article
Comments
Disclaimer & comment ruleshttp://www.bloomberg.com/news/2014-08-04/argentine-default-sours-outlook-for-peso-as-talks-ordered.html
Aug 04th, 2014 - 08:15 am - Link - Report abuse 0Argentina defaults and the next country most affected is Brazil.
Aug 04th, 2014 - 08:29 am - Link - Report abuse 0Gold!
Seems Brazil's run of high growth was just a blip and now that it is down, its economy gets a nice kick in the guts by Argentina.
Its solidarity, good Latam brothers, if we go down we make sure you do as well.
Aug 04th, 2014 - 10:19 am - Link - Report abuse 0I can hardly believe what good news this is. Argieland is dying! Surrounding countries will look out for themselves. Will argies die? Perhaps they should have tried honesty. Silly me. Argies and honesty. Not a chance!
Aug 04th, 2014 - 12:22 pm - Link - Report abuse 0@4
Aug 04th, 2014 - 01:31 pm - Link - Report abuse 0The Argies are now going to the ICJ in the Hague to get Pollock removed. Seems to me they ( Argies ) are trying to kick the can down the road again so the so called RUFO clause can't be implemented after Jan 2015. What a bunch of idiots.
3 golfcronie (#):
Aug 04th, 2014 - 01:44 pm - Link - Report abuse 0“Its solidarity, good Latam brothers, if we go down we make sure you do as well.”
-------------
“For Chile, the effect is likely to be negligible, given it hardly sends any exports to Argentina”
*gettingpopcorn*
@6
Aug 04th, 2014 - 01:52 pm - Link - Report abuse 0I agree Chile is the exeption, We can sit down and watch the show unfold, did you know that Argentins are working on an appeal to the International Court of Justice? I don't think that Argentina has won any cases that they have taken to any court all the judgements have been against them, I am sure they do not know what is the meaning of THE RULE OF LAW.
@5 The RG's have be threatening to go to the ICJ regarding Falklands oil exploration since February 2010, so far nothings happened. Why's it taking sooooo l o n g?
Aug 04th, 2014 - 07:39 pm - Link - Report abuse 0I even heard a rumour that the Falkland Island government was going to bail them out in exchange for Patagonia...http://www.thespoof.com/spoof-news/business/122050/falklands-in-argentinian-government-bonds-rescue
*popcorn*
Aug 04th, 2014 - 07:48 pm - Link - Report abuse 0:)
Frankly I don't believe that Uruguay exports 60% of the 'output' to The Dark Country, the bastards don't pay for what they have had anyway.
Aug 04th, 2014 - 08:17 pm - Link - Report abuse 0The well known arselicker of TMBOA, our despicable President, will be in tears over what he can do to help them without getting himself lynched by all the Uruguayo who want to see the death of TDC as it stands now.
I wonder how this will affect their realtionship with Venezuela?
Aug 04th, 2014 - 08:38 pm - Link - Report abuse 0If I hear anything of relevance, I will post.
My impression:
No more suitcases of cash of US$ (funny that it is never Pesos/ Bolivars? Must tell you something!), for political ends.
No more sweet little deals on the oil = no more tasty 'back-handers' for the K-gang/Chavistas secret cartel.
No more favourable trade terms from VZLA.
Two countries, ideological brethren, niether can pay their bills.
Watch the loyalty die. Chavista Boli-garchs are not known for sticking with their 'friends' or 'allies'.
Hopefully this is the beginning of the End for such people.
@10. Chris 69% of Uruguayan exports to Argentina up to end of July was electricity according to today's Pais. Whether they have paid or not isn't stated.
Aug 04th, 2014 - 11:06 pm - Link - Report abuse 0The Argentine tax bureau has just stated that receipts for july were $ 107 billion pesos or US$ 13 billion so they could afford to pay the holdouts. Just a minute thats the official figure, could it be surely not, but maybe,who can believe the lieing bastards. I find it rather strange that the government of Argentina has to try and drum up support for their misdemeanors, do they crave the need for solidarity with the world? Sounds like immaturity to me.
Aug 05th, 2014 - 01:03 am - Link - Report abuse 0I haven't been following this story closely but I am interested in any impact the default may have upon Brazil - and upon the US. So I asked around. According to those Brazilian business people I've spoken to the main response has been that it will have very little effect.
Aug 05th, 2014 - 02:05 am - Link - Report abuse 0With respect to Argentina and the US this article accords closely with my understanding of the future economic relationship:
http://blogs.wsj.com/frontiers/2014/06/06/nigeria-argentina-and-vietnam-prove-top-picks-for-multinationals/
BTW note the number of African countries on the “Frontier Market Sentiment Index”. If you ever wondered about the diplomatic interest the US has in Brazil in the context of the Pivot to Asia this list will provide the answer.
14 Hepatia/ British Bomber
Aug 05th, 2014 - 02:45 am - Link - Report abuse 0Your story is nearly 2 months old - well before CFK and Kissoff shot Argentina in the foot, in front of American Courts and media, and then Defaulted in a spectacular faceplant.
Your ranking in the pack of 3rd world states reflects your underdeveloped industry and the increasing supply of cheap labour becoming available as you “flatline”.
You may have crossed the line now, though. If Americans did invest in Argentina, do you think, in light of what you've said publicly, they would have any qualms about exploiting your resources and then discarding you?
Oh, wait, Russia and China are poised to take that opportunity with a miraculous “ trade deal”.
You'll lose your soy and oil, but have all the Fu-King washing machines and refrigerators you want - at a price...
14. If the Int'l companies can't repatriate their U$ like they were promised this month you'll see them start to pull out of Argentina.
Aug 05th, 2014 - 09:37 am - Link - Report abuse 0The FDI numbers include the U$ held by local subs that were banned from xfering them.
So back that out of the reported FDI and what do you have?
Nada
Argentine economy is in a Kristina death spiral. Time to buy real property..
Aug 06th, 2014 - 11:12 am - Link - Report abuse 0@ 12 redp0ll
Aug 06th, 2014 - 07:21 pm - Link - Report abuse 0“Whether they have paid or not isn't stated.”
I think we BOTH know the answer to that one.
Here comes Dear Comrade Vlad the Impaler with a spoiler deal:
Aug 06th, 2014 - 08:21 pm - Link - Report abuse 0http://www.bbc.com/news/world-europe-28680656
That and the BRIC bank prospect will have many singing a different song about the shooting down of flight 370.
@19 Botinho
Aug 06th, 2014 - 09:32 pm - Link - Report abuse 0A very pertinent link.
So, Argentine. Brazil and Ecuador will have follow the Russian Bear politically in the global arena or lose the export trade. I warned those trolls who were celebrating Putin's visit like was Jesus Christ 2.0
Now he will lead them by the nose.
Clever chap, that Ras-putin. Nasty, but clever.
http://en.mercopress.com/2014/08/04/trying-to-gauge-the-impact-of-argentina-s-situation-in-mercosur-partners#comment342908: Nonsense. Multinationals know how to handle limited convertibility. They have been doing it for decades. Procession of this ability is a requirement for operating in emerging markets.
Aug 07th, 2014 - 03:13 am - Link - Report abuse 0One of the problems with having any discussion with suburban peasants, such as you, is that they have no real concept of how the world works.
@ 21 Nutcase
Aug 07th, 2014 - 11:12 am - Link - Report abuse 0“One of the problems with having any discussion with suburban peasants, such as you, is that they have no real concept of how the world works.”
I agree, YOU fit that statement exectly.
Commenting for this story is now closed.
If you have a Facebook account, become a fan and comment on our Facebook Page!