You have commented 338 times on Rantburg.

Your Name
Your e-mail (optional)
Website (optional)
My Original Nic        Pic-a-Nic        Sorry. Comments have been closed on this article.
Bold Italic Underline Strike Bullet Blockquote Small Big Link Squish Foto Photo
Caribbean-Latin America
Argentina suffers dollar drain
2012-06-09

The argentine populace can see Cristina "Evita" Fernandez's policy aims:Gov't central economy control and nationalizing foreign-owned industry. They're cashing in their pesos (25% inflation) for dollars as fast as they can, and stashing it - $80-$120 million per day - while they still can
Won't be enough to hide it from crooks like the Kirchners...
Argentine banks have seen a third of their U.S. dollar deposits withdrawn since November as savers chase greenbacks in response to stiffening foreign exchange restrictions, local banking sources said on Friday.

Depositors withdrew a total of about $100 million per day over the last month in a safe-haven bid fueled by uncertainty over policies that might be adopted as pressure grows to keep U.S. currency in the country.

The chase for dollars is motivated by fear that the government may further toughen its clamp down on access to the U.S. currency as high inflation and lack of faith in government policy erode the local peso.
whoops!
"Deposits keep going down," said one foreign exchange broker who asked not to be named. "There is a disparity among banks, but in total it's about $80 million to $120 million per day."

U.S. dollar deposits of Argentine banks fell 11.2 percent in the preceding three weeks to $11.5 billion, according to central bank data released on Friday. The run on the greenback has waxed and waned since November, after President Cristina Fernandez won a second term on promises of deepening the state's role in the economy.
Expect to see more saber-rattling against the Falklands - to distract - and to try and get some of that oil revenue. She can't afford war, but may get into one, because she has to - otherwise, her Gov't and economy collapses
Posted by:Frank G

#7  It's always 2 Pesos for Peron and one for you.
Posted by: newc   2012-06-09 15:22  

#6  And Obama sure as hell won't help the Brits. He might even provide air cover for the Argies.

I dunno, Rambler. I could just as easily imagine such an order from Ogabe as the last straw that finally makes our military's flag/general officer leadership collectively grow a pair. Not to the point of an actual military coup (don't want to jeopardize that nice post-retirement gig at General Dynamics, after all), but to the point of publicly refusing to obey such an order on the basis of gross illegality. Possibly accompanied with discreet but pointed suggestions to Congressional leadership that Teh Won has finally crossed the line into "impeachable act" territory.
Posted by: Ricky bin Ricardo (Abu Babaloo)   2012-06-09 13:27  

#5  He'll wait a month first before checking the polling numbers to order that Rambler.
Posted by: Charles   2012-06-09 12:40  

#4  And Obama sure as hell won't help the Brits. He might even provide air cover for the Argies.
Posted by: Rambler in Virginia   2012-06-09 11:58  

#3  ...unless, someone in the chain of commands decides to act first, then request permission after. The question in that mind is whether the pols will simply ratify the act rather than to admit to cowardice.

Lacking two pieces of brain matter, the pols can't extrapolate that if you allow the Argies to do that, what would really stop a Cromwell from marching in and doing the same to Parliament.
Posted by: Procopius2k   2012-06-09 11:58  

#2  BP, you're assuming the Brit force on the Falklands would react. I would hope that they would, but they might be under orders to get permission from Whitehall before doing so, which means the Argies will walk up and arrest all the British personnel on the islands...
Posted by: Steve White   2012-06-09 11:14  

#1  They'd have to be able to land enough people on the Falklands to overwhelm the defenders, and they'd have to be able to do it without air cover, and they'd have to not get noticed at sea where they'd be sitting ducks.

Attackers would be committing Suicide.
Posted by: Bright Pebbles   2012-06-09 09:55  

00:00