Mama Hugo’s sick puppies and their troubled currencies
Thumbs up to Fausta's Blog for bringing this to our attention.
We got more news today that "Chavez' babies" are sick and very sick. Please get rid of those Venezuelan bolivares and Argentina pesos in your wallet.
Cristina's "peso" and Hugo's "bolivar" are in big trouble, the inevitable consequences of mismanagement and corruption!
Argentina and Venezuela are facing major currency pressures:
"Venezuela: While the crises in the Middle East are easing, the troubles in Venezuela are far from over. The black market exchange rate for the Venezuelan bolivar has fallen from 44.03 per U.S. dollar on September 24th to 40.92 on September 30th. This represents an appreciation of 7.6% over the last week. The implied annual inflation rate as of September 30th sits at 255%, down from a local high of 292% on September 17th. The ConocoPhillips dispute, a massive blackout, and worsening shortages caused by price controls have ravaged the Venezuelans’ confidence in the bolivar over the month of September.
Although the bolivar has rebounded modestly in recent weeks, this simply indicates that the economic outlook in Venezuela is only slightly less miserable than it was in mid-September. The economy is still on a slippery slope and economic expectations continue to be weighed down by the fragile political atmosphere, worsening shortages, and the ever-present specter of political violence. An inflation rate of 255% is nothing to celebrate.
Argentina: The black market exchange rate for the Argentine peso has held steady at around 9.5 per U.S. dollar since September 25th, with a 9.55 exchange rate on September 30th. That represents a 2.9% decrease in the value of the currency from the September 22nd rate of 9.27. The implied annual inflation rate as of September 30th sits at 54%, a decrease from the rate of 49% on September 22nd.""
On the medical front, President Cristina Fernandez will be spending the next month in the hospital. She is suffering from a "brain haematoma:. She may want to stay in the hospital a lot more than a month after she gets a currency report.
Another bad report card for Chavez' disciples!
Chavez's revolution is now a misery and a disaster.