Time to invest in Argentina "the land of silver"?

[marylander1940]

 

Argentina comes from "argentum" the Latin for silver, the River Plate's basin goes from Brasilia to Bolivia and it was called by former Bolivian president Gonzales Samaniego nicknamed "el gringo" the Mississippi that doesn't freeze. 

 

 

Edited November 27, 2023 by marylander1940

[MscleLovr]

I can’t believe I have to write this. The answer is a resounding No.

Just a brief reading of Argentine history will tell you:

the politicians are corrupt and loot the state;

the country borrows money but doesn’t repay loans; and

rampant inflation and currency devaluation are long-standing problems.

[marylander1940]

1 hour ago, MscleLovr said:

I can’t believe I have to write this. The answer is a resounding No.

Just a brief reading of Argentine history will tell you:

the politicians are corrupt and loot the state;

the country borrows money but doesn’t repay loans; and

rampant inflation and currency devaluation are long-standing problems.

That's been the sad story of Argentina since an actress showed up and started printing money, but it was a very different country in the first half of the XX century!

 

Edited November 27, 2023 by marylander1940

[sutherland]

For a while it was called "Bargain-tina" since the American dollar went very far there as their economy tanked

[+ Vegas_Millennial]

On 11/27/2023 at 7:51 AM, marylander1940 said:

 

Argentina comes from "argentum" the Latin for silver, the River Plate's basin goes from Brasilia to Bolivia and it was called by former Bolivian president Gonzales Samaniego nicknamed "el gringo" the Mississippi that doesn't freeze. 

 

 

I would happily invest in the LAND of Argentina.  But sadly, like all socialist economies, the people's ideals make the country a poor investment.

[+ WilliamM]

On 11/27/2023 at 2:37 PM, marylander1940 said:

That's been the sad story of Argentina since an actress showed up and started printing money, but it was a very different country in the first half of the XX century!

 

"An actress?" 

 

Judy Garland?

[Jim_n_NYC]

49 minutes ago, WilliamM said:

"An actress?" 

 

Judy Garland?

No, I think it was Madonna.  😜

[+ augustus]

On 11/27/2023 at 2:37 PM, marylander1940 said:

That's been the sad story of Argentina since an actress showed up and started printing money, but it was a very different country in the first half of the XX century!

Everyone forgets that Argentina was considered rich in the very early 20th century.   It took a big turn to the left in the 30s and has been an economic basket case for decades.  

[marylander1940]

15 minutes ago, augustus said:

Everyone forgets that Argentina was considered rich in the very early 20th century.   It took a big turn to the left in the 30s and has been an economic basket case for decades.  

In the 30's they were still doing great and barely affected by the depression, but it was in the late 40's with populism that things changed for bad.

Every 20 years the country has a huge crisis. The government nationalized the industrial debt in the 70's, hyperinflation in the 80's, later in 2001 a default, and nowadays at the edge of hiperinflation again. Uninterrupted democracy since 1983 and last coup attempt in 1990, those are certainly positive signs. 

[BSR]

4 hours ago, augustus said:

Everyone forgets that Argentina was considered rich in the very early 20th century.   It took a big turn to the left in the 30s and has been an economic basket case for decades.  

Blessed with almost ideal geography and an abundance of natural resources, Argentina was indeed one of the wealthiest nations in the world pre-1930.  Today, more than 40% of Argentines live in poverty.

Would I invest in Argentina?  Eek!  No way!!

But I still dream of visiting Buenos Aires one day for a long stay, like at least 3 months.  That porteño accent just melts me.

[mike carey]

We were twins in 1900, two of the richest countries in the world, thriving under Austral stars. The austral turned out no better than previous or later iterations of the currency.

[marylander1940]

On 11/28/2023 at 4:45 PM, Jim_n_NYC said:

No, I think it was Madonna.  😜

 

[+ keroscenefire]

I don't know about investing but it's aparently an absolute bargain to travel there. You can get 364 Argentinan pesos to the dollar and the value actually holds up. I had friends visit  a few months ago and they said they could eat at a very nice restaurant: Literally servers in tuxedos, multi-course meals, wine, really good steak, dessert, etc. They said they got the bill, did the exchange rate math and it was less than $20 per person for a meal they said would easily be $100+ in the US. 

[marylander1940]

On 12/11/2023 at 12:59 AM, keroscenefire said:

I don't know about investing but it's aparently an absolute bargain to travel there. You can get 364 Argentinan pesos to the dollar and the value actually holds up. I had friends visit  a few months ago and they said they could eat at a very nice restaurant: Literally servers in tuxedos, multi-course meals, wine, really good steak, dessert, etc. They said they got the bill, did the exchange rate math and it was less than $20 per person for a meal they said would easily be $100+ in the US. 

 

If you go to an "arbolito" (street seller) you'll get an even better deal. 

The minimum salary in nearby Uruguay is almost $600 per month, that monthly income is only reached by the top 10% of Argentines, most of them live with barely $100 per month.

[Bokomaru]

On 12/12/2023 at 10:55 AM, marylander1940 said:

 

If you go to an "arbolito" (street seller) you'll get an even better deal.

This is true. In fact you’ll get around double the official exchange rate. Several friends of mine were just there last month. 

[EZEtoGRU]

Argentina's new president devalued the peso by over 50% today.  This is one of multiple economic measures of his economic plan to shock the economy into the real world.  I have been traveling to Argentina for decades and I have witnessed many economic changes.  I still love Argentina in spite of it all.  Great wine...great steak...beautiful men.  I remember when Ford Falcons (remember those??) were seen driving all over Argentina and Uruguay.

Edited December 13, 2023 by EZEtoGRU
clarity

[MscleLovr]

30 minutes ago, marylander1940 said:

At least Goldman Sachs trust Argentina now!

Not so. I’d term it “a triumph of hope over experience” 😐

 

30 minutes ago, marylander1940 said:

Goldman Sachs added Argentina’s sovereign bonds to its basket of preferred emerging-market distressed credits to go long

With bonds trading at 37 cents on the dollar, and their view that they may strengthen to 45 cents, that’s a nice percentage gain (21.6%).…PROVIDED THAT you are both smarter and can trade better than the Goldman dealers on the other side of that trade 😉

[+ Lucky]

I would much prefer to invest in Argentinean men.

[marylander1940]

Interesting analysis about why Argentina if it's able to do math has nothing to lose in the future!

 

[+ Vegas_Millennial]

2 hours ago, marylander1940 said:

Interesting analysis about why Argentina if it's able to do math has nothing to lose in the future!

 

Argentina's brightest days are in the future.  They always have been, and always will be.

😂

[marylander1940]

3 minutes ago, Vegas_Millennial said:

Argentina's brightest days are in the future.  They always have been, and always will be.

😂

Actually that's based on a joke about Brazil

Brazil, it is often and not quite fairly said, is the country of the future and always will be. As the Olympics focuses global attention on the country, it's worth exploring the various ways in which this maxim is -- and may not be -- true.

Brazil Is Still the Country of the Future | Mercatus Center

[Rudynate]

On 11/28/2023 at 1:55 PM, WilliamM said:

"An actress?" 

 

Judy Garland?

Evita Peron, I'm guessing. 

[SouthOfTheBorder]

political corruption & inevitable political instability by those seeking to retain power and influence at all costs are the undoing of many countries.  
Categorizing it as left or right is just lazy - it's seldom about ideology, although that is what they feed the masses to justify their actions.

 

 

Edited January 10, 2024 by Kevin Slater

[marylander1940]

The economic shock is paying off!

Argentina Sees First Monthly Budget Surplus In 12 Years

WWW.BARRONS.COM

---

The Argentine government in January saw its first monthly budget surplus in nearly 12 years, as new President Javier Milei continues to push for strong spending cuts, the...

 

[MscleLovr]

And the monthly rate of inflation has been published as having fallen to only 20% !