'Falling Dollar and Expats in Uruguay' Prices

Falling Dollar and Expats in Uruguay

It would be nice to see it go back up.

DEMOCRATS HAVE CONTROL OF CONGRESS, AND KEEP SPENDING US INTO BANKRUPCY.

I'LL GIVE YOU THAT CLINTON LEFT WITH A SURPLUS. THAT WAS LARGLY DUE TO THE FACT HIS INDISCRETIONS FORCED HIM TO WORK WITH REPUBLICANS OR THINGS WOULD NOT HAVE TURNED OUT FOR HIM AS WELL AS THEY DID. OUR DEFICIT INCREASED TO ABOUT 400 BILLION UNDER bUSH IN 04, LARGELY DUE TO THE WAR IN IRAQ. SPENDING WAS STARTING TOREDUCE IN 05, 06, AND 07 TO ABOUT 200 BILLION. CONGRESS DOES THE BUDGETS, NOT THE PRESIDENT. FROM 07 TO 08 WHEN THE DEMS TOOK CONGRESS, THE DEFICIT WENT FROM ABOUT 200 BILLION TO ABOUT 450 BILLION. IN 09 IT JUMPED TO 1.85 TRILLION AND HAS BEEN GOING SOUTH SINCE. EVEN IF THE PRESIDENT HAD VETOED THE BUDGET, CONGRESS WOULD HAVE OVERRIDDEN THE VETO. THEY HAD THE VOTES. CONGRESS DOES THE BUDGETS, NOT THE PRESIDENT. THEY CONTROL SPENDING. OF COURSE HAVING A PARTY LINE PRESIDENT DOESN'T HURT THE AGENDA AS ANY BLIND MAN CAN SEE.

WE ARE PRINTING MORE DOLLARS THAN EVER. WHEN I WAS IN URUGUAY LAST NOVEMBER OUR DOLLAR BOUGHT ABOUT 21 PESOS AND WAS WORTH IN THE $1.40'S AGAINST THE EURO. AS THE VALUE GOES UP AGAINST THE EURO, IT STILL GOES DOWN AGAINST THE PESO. TODAY, ABOUT $1.19 AND IT STILL BUYS LESS PESO'S THAN IT DID LAST WEEK ACCORDING TO THE BLOOMBERG CURRENCY CALCULATOR. PARAPHRASING MARGARET THATCHER SOCIALISM IS GREAT UNTIL THE ONES WRITING THE CHECKS RUN OUT OF MONEY. I HOPE MUJICA CAN DO YOU GUYS MORE GOOD THAN OBAMA'S DOING US.

After Lorenzo's various vague announcements concerning tax, the capital flight it caused, the fall it caused in the credit ratings of many ROU investments and his latest "tweaking" session, I was amazed to receive an email today telling me that the government intends to (try to) sell 1, 200, 000, 000 U$S of debt on the world markets and that having been an investor in such bonds previously, I had been specially selected to have first crack at some new long dated dollar government bonds.

I didn't know whether to laugh or cry.

Right now I don't think that strong Dollar is in the best interest of the USA, we need to sell our goods and that will create jobs which we need badly. One thing that the United States should try to change is the Chinese playing with the value of their Money.

I thought Uruguay was doing the same, but I was reading that their buying Dollars on a regular basis to keep the Dollar from falling.

70% of the Uruguayan economy depends on a strong Dollar.

In the United States we should stop blaming and start helping and in Uruguay they should not make the mistake to try to run with the Brazilian booming economy.

Even if the world economy starts to heat up, the American dollar is in for a long period of having a more realistic value. You Uruguayans should be happy that your peso is strengthening against the dollar. It makes a lot of imports, including oil, cheaper and you'll find that your country's exports will find other markets which can only hope to diversify your trading agenda.

China and India are likely to consume a lot of primary resources of which Brazil, part of the Mercosur, has lots of and so their currency will rise, taking yours with it. Don't fight it. Besides, you should check out what the real value of the Uruguayan peso is on the McDonald's scale. You'll likely find your currency is depressed. Having it rise to its real value will help local industry, even agriculture, implement structural improvements to keep their products competitive and that can only be a good thing.

You can't expect to be dealt with fairly in a global economy if your peso is tied to the hind tit of the American dollar. The Uruguayan economy is what it is for having too long depended on the needs of a small number of trading partners, the US, the UK etc.. The world economic order is changing. This is a great oppurtunity for all.

The Minister for Agriculture announced a loss of nearly 1.200.000.000 U$S in his efforts to support the dollar for the benefit of farmers... which is approximately 10, 000 U$S for every commercial farmer in the country. As such a farmer, I reckon he'd have done better to give the money to us so we could spend it locally and use some to drink his health. :-)

Strange to say, 1.200.000.000 U$S is the sum being sought by the government in its new bond issues.

La planète économique se divise en quatre

Le rythme de croissance économique diffère beaucoup pour chacune de ces régions. Le problème est le transfert graduel de la richesse vers les pays émergents.

L’Afrique

L’Afrique est souvent oubliée. Pourtant la moyenne des pays n’a pas connu de récession. Le niveau de croissance économique est de 5%, et ce n’est pas terminé selon les économistes. Plusieurs économies sont stimulées par des investisseurs en provenance de la Chine et d’autres pays émergents. La stabilité économique de ce continent qui a été peu touché par la crise bancaire a contribué à diminuer la vitesse de la décélération économique en 2009.

Les pays émergents

Le BIC : le Brésil, l’Inde et la Chine sont responsables de 45% de la croissance économique mondiale. En 2010, si on ajoute les autres pays émergents, cette proportion grimpe à 66%.

La vitesse de croissance est en forme de V. Le problème, pour les 12 prochains mois, est la bulle spéculative qui se forme principalement dans l’immobilier et les infrastructures. Ce qui pourrait inquiéter les marchés financiers.

Le continent européen

Dans la zone euro et les pays avoisinants, la croissance économique est en forme de L. On estime que les deux tiers de cette région, notamment l’Allemagne, la France et plusieurs pays nordiques s’en sortent bien mais avec une croissance économique timide. La chute de L’euro leur donne un coup de pouce.

À l’inverse, certains pays autours de la méditerranée poursuivent leur récession et d’autres ont une croissance très timide. Leurs Problèmes sont accentués par des politiques budgétaires très restrictives.

L’Amérique du Nord

La croissance est pour le moment idéale en forme de U. Elle est sans menace sérieuse d’inflation.

Le consensus des analystes sondés par Bloomberg anticipent pour les 12 prochains mois une croissance boursière américaine de 27%. La progression des profits des entreprises est très encourageante. C’est pourquoi les bourses américaines et canadiennes sont les plus performantes en 2010.

À mon avis, et selon les tendances économiques actuelles de ces quatre régions économiques, il y aurait de bonnes chances pour que le marché boursier puisse offrir un bon rendement au cours des 12 prochains. Toutefois, une probabilité minoritaire mais présente d’une cassure serait aussi à considérer.

Transfert de la richesse

Historiquement, on n’avait jamais vu un transfert aussi rapide de la richesse planétaire des pays développés vers les pays émergents. Des pays occidentaux fortement endettés par leurs gouvernements et leurs populations s’appauvrissent relativement aux pays émergents où l’épargne et la croissance sont au rendez- vous.

What's that tell you.

...and while i may have your attention, IMO a president can have an effect on an exchange rate.... The presidents policies and utterances can have a profound effect on the stock market which in turn can lead to a drop in confidence in the economy of a country which can lead to currency fluctuation.

...for those who preach distribution of wealth and run down the wealthy at the same time, please tell me of a poor person who has ever given anyone a job....

Those days when a poor American felt rich in other countries are gone, just like the 0.25 Gallon of Gasoline.

Other countries have awoken that is reality. So as Americans instead of blaming and complaining all day long we should try to be more productive and support every effort to recoup the past. "just say no" is not going to work forever.

A poor guy probably never gave somebody a job (I heard that before and I agree with you)) nothing against rich people (we love them) but we believe they can be part of a broad solution and if they don't have more money, after 8 years of complete support it's due to abuse of power and trust.

I don't recall ever having "preached" nor "run down the wealthy". In fact, statistically, I probably fit into that category. What I do recall having said is that they, or me for that matter, wouldn't be rich if they/we were alone on an island.

As for poor people giving jobs, the millions who receive welfare in our modern states spend their allocations which helps, through consumerism and services, to keep the economy running which indirectly creates jobs either at home or abroad. Granted, the welfare allocations come from the tax revenue to which the middle class contributes the largest portion.

Indeed, in economic terms, the fact that some of the population has been relegated to recipients of society's largesse is due in a large part to our system which allows for a significant number of unemployed that act as potential pool of available labour so that those who are luckily, permanently employed can enjoy the wages they do and the employers can increase their profits by not having to keep idle workers on the payroll.

By the way, the article I posted says for the North American zone (l'Amérique du nord) that according to a Bloomberg analysis of results shows that the majority of analysts (presumably economic analysts) polled foresaw a 27% increase in the American stock market indices over the next twelve months (that translates to a Dow average of maybe over 12, 500 given today's level). That's not bad considering the negative influences that you mention possibly influencing the value of the American dollar in one of your earlier postings. If my memory serves me correctly, the 2009 correction of the market was around 37% which is considered pretty phenomenal given where it had fallen to in 2008. Back before that, I heard an expert predicting the Dow above 15, 000 by 2015.

So, if you'd like to make a little money and can afford the possible risk, you might buy into ETFs (electronically traded funds) based on the major North American indices. I would suggest one for the TSX (Toronto Stock Exchange) as all indications point to the CDN dollar reaching parity with the US and surpassing it. You'd be making the percentage increase plus the increase in the exchange rate. After all, where else could you possibly earn 25% or more on your money with interest rates being what they are, even if they do start to rise?

I was able to read French OK.

President can have an effect on an exchange rate.yes we all remember Bush.

....The primary language used on this site appears to be English and so the polite thing to do is to use English ( Bek later explained that he/she could not find an English version...fair enough). Maybe i should get someone to scribe in Swahili or Afrikaans....that may provide with some interesting dialog!!!!!!!!

S&P 500 - 2008 DOWN 37% - 2009 UP 26% -

I was able to read French OK.

President can have an effect on an exchange rate.yes we all remember Bush.

....I'm afraid that you are not able to read French OK.....for starters i don't see the S&P mentioned anywhere and i don't see where things were up 26% in 2009!!.....but then I'm not too bright!!

.....Try and live a happy life..Bush is gone and he will never be President again. Just revel in the way the current "mobsters" are going about their business and enjoy the fruits of their ways. I look forward to moving to UY.

If bik made a post in French as a non-regular participant it would have been deleted. If it was the first time he posted probably his account would have been blocked too. Because this is an English form.

Because bik is a regular participant and his post is relevant... it is not a big problem, but many won't understand it.

The same might well go for a Spanish post as well, because this is an English forum! But, there is a Spanish forum on this site too. The content is completely different from the English side, because it is a Spanish forum and not a translation (except for the page templates and those could probably use some help in the Spanish grammar department and completeness).

English discussions about Spanish words, or how to say something in Spanish would be appropriate here, but not Spanish discussions in and of themselves.

I was recently told that the Spanish side of this site wasn't nearly as interesting as the English side... so if someone would like to spark some interesting Spanish conversations there... it would be great!

[interruption over]

• Total Uruguay Spanish Forum

I believe it was Elaine who explained to me that there aren't many other expat sites, not for French or other Latin languages, that she knew of and that in her experience, they integrated a bit more seamlessly than the anglophones. From what I can see, I believe she's probably right.

I have found sites in French for expats in Argentina, but it's not relevant to me for they are for European French in Argentina rather than Canadians in Uruguay.

I will confess that I am not a proponent of unilingualism. This forum seems almost exclusively English, sometimes Spanish for clarification of legal terms and apart from my occasional French, I've read postings in German and maybe Portugese, but it could, in my estimation, gain from being more open. Surely the reason for its creation was for an exchange of information and not language policing.

Moreover, sometimes the quality of the English used here is "incoherent" so where do you really draw the line when it comes to comprehensability? Or for that matter, which English? British or American? You see where this could lead. Unless, of course, what is really wanted here is a more exclusive Anglo-American club which is a valid aspiration on the part of the participants but if so, wouldn't it be best to rename the site to reflect its mandate?

As for mention of the S&P, it was Jorge correcting a statement I had made about the markets having gained 37% in 2009 after drastic losses in 2008.

Also a lot of people in Uruguay (my generation) learned French in First and Second year of High School, French was the culture language of that time.

Now English is the business language of choice and in Uruguay because the closeness to Brasil, Portuguese is a language that are teaching in HS.

When I mentioned Bush it was because every time he appeared on TV the Market went down and already it's starting to happen with Obama but I'm also happy he is not in the White House anymore.

GOOGLE - S&P 500 (Standard & Poor's) this Index includes 500 Leading Companies.

I wish you luck in Uruguay and enjoy the fruits of your efforts and relax. Just don't listen to Radio or TV, enjoy the "tranquilo" life.

In a couple of years if the Obama Administration dosen't deliver, I'll be complaining just like you.

But now it's too early.

Just remember that those White Guys with the Pick Up and the American Flag in your hometown just like Blacks or Hispanics they are poor with no Health Insurance, limited education and looking for work.

We are all in the same boat and we don't know because the ones on the top are pulling the strings and making us do what they want, while we're thinking that we are free and right in our opinions and that include me.

What I think, I'm doing right is they are all my friends and I care for all of them, so sometimes I'm going Fishing or Hunting, playing Dominoes or dancing Rap.

Yesterday I got up at 5.00am and accompanied my dirt track motor racing team to a very rural location in Soriano somewhere near Rodo where fortune gave us a good kicking in the form of a broken steering arm in the last race so we only earned ourselves 5 points in the series instead of the usual 12 but never mind... we'll be back in winning form next time.

It was a grand day out with lots of delicious chorisos and other meaty items to eat as well as new and old "petrol-head" friends to meet.

Victory in life comes from living and enjoying it. Letting miserable politicians get you down is the real defeat. :-)

Yahoo finance is showing 19.25 which is strange because it usually shows a better rate than you will get here.

• USD to UYU

Fue al Parlamento proyecto de nueva reforma tributaria

El Poder Ejecutivo remitió al Parlamento el proyecto de ley que propone gravar los depósitos y otras colocaciones que los residentes en Uruguay tengan en el exterior.

El gobierno justificó las modificaciones al sistema tributario en el objetivo de asegurar los principios de equidad y estímulo a la inversión.

En esencia la norma propuesta flexibiliza la aplicación del principio de territorialidad para las rentas originadas por préstamos, colocaciones, depósitos y participaciones patrimoniales de las personas físicas residente como a su consideración a efectos del cómputo del patrimonio.

VEA EL PROYECTO COMPLETO

This morning, just before 9am in Montevideo... BROU bank shows US$1 purchases 19.80 pesos and yahoo shows 19.25.

So at least at the moment it appears whatever was done to bolster the dollar is being effective, at least within the Country.

• BROU Bank

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