Chile Forum

Five major internet backbone cables in the middle east have now been "accidentally" cut by ship anchors in the last week.

Could this cable cut mean a new exchange move on the way?
http://it.slashdot.org/article.pl?sid=0 ... 6&from=rss

This article from Rense speculates up to 9 or more cuts.

http://www.rense DOT com/general80/cable.htm

Wayne Madsen reports on six.

Strange how the Iranian non-USD oil bourse is set to or is it now was?? set to startup this month.

How gold was hitting new highs just days ago, the dollar approaching a new low and silver at 28 year highs before a smack down that coincided with the Internet cuts to the hot invest and spec money from South Asia and the ME.

DAMN SHIP(S) ANCHORS!!

I'm positioned well though.

As that "just a Goddamn piece of paper" hating dude once said ...

"BRING IT ON"

yea, even though our servers are located at U.S. data centers, I am considering a plan to implement a south America Mirror server for such "accidents". Mostly I am considering doing it just to give members in south america a faster connection to our sites, and some redundancy for disasters.

Currently if something like that happened I would have to bring my backups online in South America. I do have the ability to do that in a few hours, but the global DNS system would likly take longer to recognize and it would make a mess out of our sites to basically be serving two different versions in both North and South America.

I have toyed with the idea however, and might still do it. I am not sure the added cost would be worth it. We are not exactly hosting the stock market or federal reserve here. I think you guys might forgive me if you could not get on the forum for a day or so from South America under such an emergency.

Ok we bounced from just below 75 to 76.6+ on the dollar index. But what was really "different this time" was the CLP rate hardly budged and is now set to fall further when the dollar hits resistance and starts working its way down again.

And of course, gold, silver, COPPER and many other commodities have made huge runs when they normally would have stood pat or declined on a dollar rally.

This says to me the old relationships are decoupling.

I am quite worried about the growing credit system problems from Wall Street, DC and throughout the Homeland even extending into overseas markets.

I have already taken steps to keep as little of my funds in the US banking/brokerage/credit system as necessary.

Something to think about. Sooner rather than later.

NIA. DYODD.

We should have poll options showing the 1 to 1 parity, with expected dates.

admin wrote:We should have poll options showing the 1 to 1 parity, with expected dates.

Why stop at one-to-one?

yea, when will be able to just flip the dollar sign around to say $458 USD = 1 CLP

grab your pesos kids, we are going for a ride.

about the toxic mix of economic problems
http://news.google.com/nwshp?tab=wn&ned ... en&topic=b

A raft of articles sunday about how the dollar is going to drop more
http://news.google.com/news?tab=wn&ned= ... 1137302326

I talked to currency trader in London yesterday on another subject. He seemed be expecting big moves in south American currencies because of the recent events in Colombia. The question now is does the Chilean peso strength or weaken because of the recent issues in Northern South America.

I would say on the one hand expect the Chilean peso to seem like regional safe haven. On the other hand, currency speculators are just going to hear latin america or south america and dump pesos because they are in the neighborhood.

admin wrote:. . . . [O]n the one hand expect the Chilean peso to seem like regional safe haven.

With internet and easy international communications and investment, money has become like water before the rise of human civilization: without dams, water seeks a single, worldwide level: without restraints of local laws, currency traders (and investors) seek the world's best -- safest, highest-performing -- currency, with scant regard to the location of the issuing power.

admin wrote:On the other hand, currency speculators are just going to hear latin america or south america and dump pesos because they are in the neighborhood.

More likely, I think. I've found traders of equities to be more widely aware of complex reality than traders of commodities or even currencies are -- and that's not saying much, IMHO.

My bet (not investment advice, DYODD) is NO that it will substantially affect Chile or the Southern Cone in general.

Any short term weakness in CLP will be the time to hit to the ATM machine to stock up on many months worth of CLP to cover living expenses.

Currency traders like you talked to in London are masters at spreading FUD. You might have just become an unwilling participant in that game.

Again NIA, DYODD, TINSTAAFL.

1 USD = 454.940 CLP
May Copper 3.93
May Silver 20.52
April Gold 985.40
April Crude 102.73

xe.com

2:15 pm

1 USD = 446.450 CLP

Now I'm wishing the currency guy in London is correct ...

Well this was one of those situations where spreading FUD was not really worth his time. He already knew he could not sell me anything. We where trying to work out some methods of exchange from other currencies directly in to pesos, when he discovered no one could directly exchange pesos (which I already knew but thought I would try) from anything other than dollars (which really does not help my clients in other currencies).

We did a check of some swiss banks recently, and no one could pull it off. It is currency X to US dollars to Pesos with a liquidation through a Chilean bank seems to be the only way we have found so far. That basically means two transactions with the last one being 4 pesos to the dollar from a Chilean bank in exchange loss.

Anyone got a better solution?

We make money regardless if the peso goes up or down, but it is more the appeal of Chile problem for us. A weak peso makes Chile look appealing. So, even if on some level I did not make as much money in the sense of our CLP being worth less, we would make more money in the sense of more people wanting to retire in Chile. I am still not sure which I prefer. I think I prefer a nice stable peso over any other sort of move. Still, it would be nice to see the good old days of 530 CLP to the dollar (I think)

Currently I am keeping my US dollar accounts on the dry side, or only paying US bills with my US dollars. I might grab some discount stocks if it looks like a bottom is near, but with dollars. diversify and survive. Works for mother nature and money.

We did a check of some swiss banks recently, and no one could pull it off. It is currency X to US dollars to Pesos with a liquidation through a Chilean bank seems to be the only way we have found so far.

I usually do my exchange to pesos via EUR. My bank in Chile (Itau) accepts USD or EUR.