Tag Archives | currency

Argentine Peso May Slide to 3.8 per Dollar

Bloomberg is reporting that Argentina may ease its defense of the peso, and take a one time devaluation to $3.80 per dollar from $3.208 today. (It’s already slid 5 percent since August 1.) They had originally predicted that the government may simply let it fall through gradual depreciation, but the new measure may come up as a result of the current world financial crisis and depleting federal reserves.

While this may seem like a good thing for those of us with foreign currency, it would also most likely mean a continuing rise in inflation. Not good for any of us in Argentina.

Argentina May Devalue Peso 16 Percent, JPMorgan Says[Bloomberg]

UPDATE (10/24/08): The fall keeps happening as the government is unable to keep up, even with heavy dollar selling.

Argentine Peso Drops to Almost Six-Year Low Amid Global Turmoil [Bloomberg]

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Argentine Peso Dives to 5-1/2-yr Low

Reuters is reporting that the Argentine peso has shrunk to its lowest level against the dollar in 5 1/2 years.  The peso slid 2.39 percent to 3.315/3.320 per U.S. dollar, its lowest point since January 2003. The peso has slid 4.65% this year so far.

So, the American economy tanks and the dollar gets stronger. I don’t understand it, and this is exactly why I’m staying away from the stock and currency market.  I am however, going to the ATM to withdraw some cash and take advantage of this rate.

UPDATE (10/08/08): Just checked it out at the ATM and I got $3.1965 pesos to one U.S. dollar.

UPDATE: Figured I’d post some of the recent rates I’ve been getting. I still get the best rate from my Schwab ATM card.

Schwab:
3/16/09: $3.645
11/4/08: $3.378
10/27/08: $3.254
10/24/08: $3.239
10/12/08: $3.222
9/30/08: $3.117
8/8/08: $3.044

(sorry for the big gap, but the exchange rate is much better now!)

4/20/10: $3.863
5/3/10: $3.873 (daily rate: $3.8855)
5/17/10: $3.891 (daily rate: $3.8965)
7/6/10: $3.928(daily rate: $3.933)
7/19/10: $3.929 (daily rate: $3.9325)

American Express (charges 2.7% foreign transaction fee):
10/26/08: $3.178
10/13/08: $3.156
7/23/10: $3.829 (daily rate: $3.932)

Argentine peso sinks; stocks, bonds extend losses [Reuters]

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Currency Exchanges and Rates

Now that I’m here, I’ve been taking a look at what the best way to pay for things is – cash or credit?  I’ve found that:

  • using my Citibank Visa, I’m getting AR $2.9517 to the U.S. dollar after fees are calculated.
  • using my Schwab ATM card I’m getting AR $3.0436 to the U.S. dollar with no ATM fees.
  • when changing U.S. cash to pesos, I got AR $3.00 to the U.S. dollar near the Palermo Alto mall.
  • the Carrefour grocery store near me pays AR $2.95 to the U.S. dollar and some stores pay AR $3.00 to the U.S. dollar.

The official rate today was AR $3.0540 to the U.S. dollar. So, it definitely makes the most sense to take out cash from my Schwab account when I can as those extra cents can really add up over time.

If you’re looking to exchange cash for pesos, DolarHoy.com is a great site which lists the daily exchange rate for buying and selling at various cambios and banks. The best deal for today was Cambio America at $3.045. The Argentina Private message board has a good post with more details on this and their favorite places to exchange currency, including some tips on negotiating a few cents more than the bulk rate at DolarHoy.com. Like many places in BsAs, they’re closed weekends and a few hours in the afternoon, so be sure to call for their hours first.

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