The stock market is in free fall here in the states. People want to believe that everything changes when someone new gets in. It will not. If Trump does one half of the things he wants to do, it will be good. Milei told everyone that there would be a tough time for awhile. We have just been told here that there will be fewer rate cuts in 2025. You cannot have a mess for years, and then utopia overnight. Governments are usually corrupt and it takes years to sort it out. The dollar is NOT going to fail, and gold will be what it is always...insurance!. Some states in the US are already allowing gold and bitcoin to be used for major purposes. Inflation here is not going to go away overnight just as soon as Trump goes in. I am not an expert on South American countries, but it is good to have input on Argentina and Uraguay. Thank you Matt.
If the US has a similar result when MAGA Boy gets into office, whole populations of vapid politicians, worthless academics, brainless MDs, and TV Preachers will (hopefully) be taken up as with a giant vacuum cleaner and deposited in the mythological land of purgatory along with the confused catholics. May they rest in NO PEACE!
So have I missed out on investing in an Argentinian ETF or do the countries stocks have a lot further upside? I know, not investment advice! 😁 have a great day everyone!
You’re cherry picking data that fits your narrative. An honest assessment would address the unprecedented increase in poverty, adding 5 million Argentinians to its ranks a galloping 11 % increase from last year, 42% to 53 %.
Wage purchasing power has eroded, your claim that wages increased omits the fact that half of the Argentinians work in the informal sector, whose wage increases have not kept pace with cost of living increases, as austerity measures increased the price of goods and subsidies they relied on until Milei chainsawed them.
I’m compelled to write some anecdotes of this corrupt charlatan who loves to bully world leaders. He tried to pull it off with AMLO, just to receive a virtual spanking that left him unable to sit down for a week.
The comedores populares (soup kitchens)have experienced an unexpected surge in demand, these are funded by both, private and public sectors. To keep up with the demand, a request to increase their funding was ignored. Taking a page out of Ripley’s book, his government’s contempt toward the poor was in full display in May/June, purposely laying waste 5 million kilograms of food sourced by his predecessor under his food security policy supporting comedores and the most vulnerable.
Shortly after displaying his debased behavior , he sent his police force to violently assault pensioners who took to the streets demanding pensions met cost of living increments , a repulsive incident witnessed worldwide as elders were beaten unmercifully . No wonder he yearns to become a Jew.
He wants to attract foreign investment, but slashed budgets on universities, research centers, cultural institutions, and halted public works. I’m scratching my head figuring this one out.
Meanwhile, the globe trotting Milei (17 international trips in his first year) broke his promise of flying commercial two months into his presidency. Supposedly, he now enjoys splurging on luxurious trips, along with his adviser-his useless sister. Austerity for thee not for me. Before traveling for Mar-a-Largo, tv personality Jaime Bayly offered his residence to keep the trip austere, the pompous ass ignored it.
I rather see a country run by the likes of Evo Morales, Rafael Correa (both targets of a concerted campaign of disinformation sponsored by the National Endowment for Democracy ), AMLO, or Claudia Sheinbaum. I’ll include Lula into the mix.
He might pull it off, be a darling of the right, and Wall Street . His approval ratings remain high, Argentines are desperate to improve their living standards, ignore his corrupt behavior, at the end of the day they’re Argentinians…
Thanks for your information. I've never trusted the guy, he seems very suss to me. Kowtowing to Israel? Why’d he do that? There can’t be much trade with that country. To please the United States? Probably. Maybe he’s good for the money interests but he seems unhinged, seriously.
Thanks for your comment. I agree, he’s an untrustworthy individual.
I started following him during the presidential campaign.
He’s gone to great lengths to be accepted as a Jew. He would wave the Israeli flag, and shofar at his rallies. It backfired with the country’s Jewish community, they took offense using religious symbols for political purposes. In Israel payed lip service to Bibi, promising to move Argentina’s Embassy to Jerusalem . Votes against UN resolutions concerning Israel. His spiritual advisor is a rabbi, Milei’s a catholic.
To what end,I honestly can’t figure it out. He’s an insecure weakling, I believe he seeks validation from those he considers powerful.
…well - there is just the little hook that Argentina is now under the thumb of the FED as they adopted the USD - and why was the Argentinian Gold shipped to London? Any Idea Doug? Still an independent country?
All of Latinamerica saves in USD and prices real estate and expensive hotels in USD - what will happen when USA hits super high inflation? Will this hit Latinamerica too - or will those countries then have a LATAM Dollar? Will it have a life of its own? Important as I was just about to move there when I discovered teh spread of CBDC’s from Brazil to Uruguay. They do it voluntarily and arguably unfair competition with Banks and completely under government control. Do you support what Chicago school did in Chile - privatisation of naturally monopolistic industries? My gut that htis is what is happening in Chile - still lots left for me to learn.
Only if those dollars flood into Argentina. It could happen, but it's way downstream.
The bigger question... The key is legal tender law. In Argentina you can use what ever currency you want in contracts or to settle transactions. Same is true in Uruguay. Wanna use BTC? That's fine. CBDC or FEDCOIN is coming everywhere. It isn't great. But it's orders of magnitude worse when you have a state enforced currency monopoly.
They didn't adopt the USD. Argentines have used the dollar for years because their own currency was unstable. When I bought my apartment there in 2007 it was purchased in dollars. That's how virtually all real estate is priced and sold.
Melei allows people to use what ever currency people want to use. Peso, USD, Euro, whatever. That's a free market.
What a pretty little daughter you have! You are already rich!
The stock market is in free fall here in the states. People want to believe that everything changes when someone new gets in. It will not. If Trump does one half of the things he wants to do, it will be good. Milei told everyone that there would be a tough time for awhile. We have just been told here that there will be fewer rate cuts in 2025. You cannot have a mess for years, and then utopia overnight. Governments are usually corrupt and it takes years to sort it out. The dollar is NOT going to fail, and gold will be what it is always...insurance!. Some states in the US are already allowing gold and bitcoin to be used for major purposes. Inflation here is not going to go away overnight just as soon as Trump goes in. I am not an expert on South American countries, but it is good to have input on Argentina and Uraguay. Thank you Matt.
If the US has a similar result when MAGA Boy gets into office, whole populations of vapid politicians, worthless academics, brainless MDs, and TV Preachers will (hopefully) be taken up as with a giant vacuum cleaner and deposited in the mythological land of purgatory along with the confused catholics. May they rest in NO PEACE!
Excellent piece! Thank's
So have I missed out on investing in an Argentinian ETF or do the countries stocks have a lot further upside? I know, not investment advice! 😁 have a great day everyone!
You’re cherry picking data that fits your narrative. An honest assessment would address the unprecedented increase in poverty, adding 5 million Argentinians to its ranks a galloping 11 % increase from last year, 42% to 53 %.
Wage purchasing power has eroded, your claim that wages increased omits the fact that half of the Argentinians work in the informal sector, whose wage increases have not kept pace with cost of living increases, as austerity measures increased the price of goods and subsidies they relied on until Milei chainsawed them.
I’m compelled to write some anecdotes of this corrupt charlatan who loves to bully world leaders. He tried to pull it off with AMLO, just to receive a virtual spanking that left him unable to sit down for a week.
The comedores populares (soup kitchens)have experienced an unexpected surge in demand, these are funded by both, private and public sectors. To keep up with the demand, a request to increase their funding was ignored. Taking a page out of Ripley’s book, his government’s contempt toward the poor was in full display in May/June, purposely laying waste 5 million kilograms of food sourced by his predecessor under his food security policy supporting comedores and the most vulnerable.
Shortly after displaying his debased behavior , he sent his police force to violently assault pensioners who took to the streets demanding pensions met cost of living increments , a repulsive incident witnessed worldwide as elders were beaten unmercifully . No wonder he yearns to become a Jew.
He wants to attract foreign investment, but slashed budgets on universities, research centers, cultural institutions, and halted public works. I’m scratching my head figuring this one out.
Meanwhile, the globe trotting Milei (17 international trips in his first year) broke his promise of flying commercial two months into his presidency. Supposedly, he now enjoys splurging on luxurious trips, along with his adviser-his useless sister. Austerity for thee not for me. Before traveling for Mar-a-Largo, tv personality Jaime Bayly offered his residence to keep the trip austere, the pompous ass ignored it.
I rather see a country run by the likes of Evo Morales, Rafael Correa (both targets of a concerted campaign of disinformation sponsored by the National Endowment for Democracy ), AMLO, or Claudia Sheinbaum. I’ll include Lula into the mix.
He might pull it off, be a darling of the right, and Wall Street . His approval ratings remain high, Argentines are desperate to improve their living standards, ignore his corrupt behavior, at the end of the day they’re Argentinians…
>>corrupt charlatan who loves to bully world leaders. He tried to pull it off with AMLO.
Now, this line tells me everything I need to know about your politics. 'Bully world leaders'. Cry me a river. Lol
Thanks for reading my comment. Best
Thanks for your information. I've never trusted the guy, he seems very suss to me. Kowtowing to Israel? Why’d he do that? There can’t be much trade with that country. To please the United States? Probably. Maybe he’s good for the money interests but he seems unhinged, seriously.
Thanks for your comment. I agree, he’s an untrustworthy individual.
I started following him during the presidential campaign.
He’s gone to great lengths to be accepted as a Jew. He would wave the Israeli flag, and shofar at his rallies. It backfired with the country’s Jewish community, they took offense using religious symbols for political purposes. In Israel payed lip service to Bibi, promising to move Argentina’s Embassy to Jerusalem . Votes against UN resolutions concerning Israel. His spiritual advisor is a rabbi, Milei’s a catholic.
To what end,I honestly can’t figure it out. He’s an insecure weakling, I believe he seeks validation from those he considers powerful.
Best,
Milei is proving what Trump says is real. Here's praying Trump is as successful as Milei!!
Oops not Doug - it’s LAU ..
…well - there is just the little hook that Argentina is now under the thumb of the FED as they adopted the USD - and why was the Argentinian Gold shipped to London? Any Idea Doug? Still an independent country?
The crucial question is if they let you pay taxes in USD or Bitcoin
All of Latinamerica saves in USD and prices real estate and expensive hotels in USD - what will happen when USA hits super high inflation? Will this hit Latinamerica too - or will those countries then have a LATAM Dollar? Will it have a life of its own? Important as I was just about to move there when I discovered teh spread of CBDC’s from Brazil to Uruguay. They do it voluntarily and arguably unfair competition with Banks and completely under government control. Do you support what Chicago school did in Chile - privatisation of naturally monopolistic industries? My gut that htis is what is happening in Chile - still lots left for me to learn.
Only if those dollars flood into Argentina. It could happen, but it's way downstream.
The bigger question... The key is legal tender law. In Argentina you can use what ever currency you want in contracts or to settle transactions. Same is true in Uruguay. Wanna use BTC? That's fine. CBDC or FEDCOIN is coming everywhere. It isn't great. But it's orders of magnitude worse when you have a state enforced currency monopoly.
They didn't adopt the USD. Argentines have used the dollar for years because their own currency was unstable. When I bought my apartment there in 2007 it was purchased in dollars. That's how virtually all real estate is priced and sold.
Melei allows people to use what ever currency people want to use. Peso, USD, Euro, whatever. That's a free market.
The gold question is a good one. I had the same concerns. Here's the best summary you'll find on the matter. Worth a read: https://www.bowtiedmara.io/p/the-bcra-gold-reserves-mystery