Exchanging Currency

[Daddy Rulz]

I believe my friend Daddy Rulz is saying he hopes KFC stays in for life because her policies are so stupid it will tank the peso, and thus be good for gringos. This is a possible example of schadenfreude. I am having the same selfish feeling, being in Europe, and hoping that the European central bank loosens monetary policy as a stimulus measure while the US Fed raises rates. That will lead to a stronger dollar vs. the euro and benefit me personally.

But let's not lose sight of the fact that although relative real interest rates are the primary determinant of foreign exchange rates, the second most important factor is the balance of trade. KFC's policies are equally stupid in that area, so the two may very well offset and inflation will eat up all of the benefit for gringos. My analysis is that the gringos who will benefit the most will be those who consume mostly domestic goods, because remember, the price of imports will skyrocket if the peso collapses.

Having said that, Argentina's fairly long-standing history of putting huge tariffs on imported goods has already been providing a huge incentive to consume domestically produced goods.

The problem with that, of course, is that a lot of Argie products are total crap. So what the gringos in Argentina can probably look forward to is paying even cheaper prices for the same fucking crap. That is not the worst thing in the world, but if the ECB loosens and the Fed tightens, gringos can go to Europe and pay cheaper prices for stuff that is actually of high quality. Last time I was in Europe in 2013, the euro was at about 1,35 and this trip it's been between 1,06 and 1,13 and I am eating like a prince and staying in some pretty nice apartments for very attractive dollar prices. Meanwhile, Argies are going to have a real hard time traveling to other countries. That breaks my fucking heart.

Pretty much the only imported goods I consume come from Paraguay and pricing on that particular commodity seems to be staying on par or below the domestically produced equivalent.

[Sapblows]

https://twitter.com/dolarblue

[Gandolf50]

The truth is I lived better and cheaper here when the exchange rate was 4 to 1. While the higher rate of exchange helps offsett the inflation, the inflation is being fueled in part by the higher exchange rate. And on and on and on......

[Dickhead]

I believe my friend Daddy Rulz is saying he hopes KFC stays in for life because her policies are so stupid it will tank the peso, and thus be good for gringos. This is a possible example of schadenfreude. I am having the same selfish feeling, being in Europe, and hoping that the European central bank loosens monetary policy as a stimulus measure while the US Fed raises rates. That will lead to a stronger dollar vs. the euro and benefit me personally.

But let's not lose sight of the fact that although relative real interest rates are the primary determinant of foreign exchange rates, the second most important factor is the balance of trade. KFC's policies are equally stupid in that area, so the two may very well offset and inflation will eat up all of the benefit for gringos. My analysis is that the gringos who will benefit the most will be those who consume mostly domestic goods, because remember, the price of imports will skyrocket if the peso collapses.

Having said that, Argentina's fairly long-standing history of putting huge tariffs on imported goods has already been providing a huge incentive to consume domestically produced goods.

The problem with that, of course, is that a lot of Argie products are total crap. So what the gringos in Argentina can probably look forward to is paying even cheaper prices for the same fucking crap. That is not the worst thing in the world, but if the ECB loosens and the Fed tightens, gringos can go to Europe and pay cheaper prices for stuff that is actually of high quality. Last time I was in Europe in 2013, the euro was at about 1,35 and this trip it's been between 1,06 and 1,13 and I am eating like a prince and staying in some pretty nice apartments for very attractive dollar prices. Meanwhile, Argies are going to have a real hard time traveling to other countries. That breaks my fucking heart.

[Gringo Verde]

15.7 for four $100s this pm at the cuerva in the galaria on the 300 block of Florida. That's up from 15 and a few centavos for $300 last week.

[Daddy Rulz]

That's interesting.

Not true, but interesting.

Ambito and lanacion showing the blue UP today (15.9) and a quick email exchange with an old friend who works in FX confirms that the trend is still UP (today). ;-)

This is a little closer to the truth. I swear I hope they let her stay in for life.

http://www.bubblear.com/mutual-funds...s-values-drop/

[DavieW]

CFK strikes again as the election nears. If you can, I would suggest holding on to your dollars.

http://www.bloomberg.com/news/articl...ion?cmpid=yhoo

Tres3.

That's interesting.

Not true, but interesting.

Ambito and lanacion showing the blue UP today (15.9) and a quick email exchange with an old friend who works in FX confirms that the trend is still UP (today). ;-)

[Tres3]

CFK strikes again as the election nears. If you can, I would suggest holding on to your dollars.

http://www.bloomberg.com/news/articl...ion?cmpid=yhoo

Tres3.

[Santa]

What is the latest info on bitcoins. Is it worth my time? Can you exchange at blue rate? Thank you Santa.

[Fireheat]

Hey Guys, I've gotten quite a few PMs for the address of the money exchange. As a rule of thumb, the rate I've gotten has been about 50-60 cents less than the rate given one this twitter account: https://twitter.com/dolarblue - Currently, it's at 15.45 today, so you'd be lucky to get 15, probably 14.80.

[Fireheat]

Hey Albert, the place i mentioned, I've got to both on a Saturday and on a Monday. =).

Does anyone know reliable places for exchanging dollars or euros at blue rate on saturdays ?

Thanks in advance for your help.

[Albert Punter]

Does anyone know reliable places for exchanging dollars or euros at blue rate on saturdays ?

Thanks in advance for your help.

[Fireheat]

This past Monday, I exchanged for 15.40 on Florida near to Corrientes. I have stopped using the runners and went straight to the place who exchanges, got about .60 better rate than when the runner helps. PM if you'd like location of business.

[Gandolf50]

This past week in Bariloche they were changing at 14 to 1. Before I left I received 14.50 here in Moreno.

[Gandolf50]

It looks like one might be able to get that 15 to 1 this week!!!