Originally Posted by
DukieDrew
Interesting...in the last couple days the peso has stopped being so stagnant, trading around 3.03 ARS per USD, and now has risen to 3.09, according to Yahoo forex. ~5 cents in 4 days. Could this be the start in the adjustment?
I don't think so. A few months ago, the peso was at 3.2 to the dollar - only recently has it strengthened again to 3.03 or thereabouts so a slight dip to 3.09 is nothing significant.
However, with inflation out of control and salaries not rising to compensate, it's only a matter of time before something will have to give. Having read all about Argentina's modern history from around 1900 onwards it seems that there has never been more than a 5-10 year period of stability in Argentina's history without some major political or economic crisis. With the last major crisis being 2001, something is undoubtedly around the corner.