Archive for March, 2008

Mexican Peso Chained to U.S. Dollar

Sunday, March 16th, 2008

Something is not right. So far I haven’t found the answer to this question, “Why does the Mexican Peso sink with the U.S. Dollar”? Look, Mexico has gold, silver, copper, oil, agriculture, tourism and an emerging middle class, but the Peso never gains any traction against the Dollar. Why??

 The Canadian Dollar has surpassed the U.S. Dollar in value and so have other currencies around the world. If the Mexican Peso ever frees itself from the clutches of the falling U.S. Dollar we could see a rapid reversal of fortune. But, this will never happen until the mystery of the 10 to 1 exchange rate is solved. (see side bar for current exchange  rate)

Mexicans: The Unconventional Investors

Sunday, March 16th, 2008

For years, Mexicans have been ridiculed for wearing “Mr. T Starter Kits”. Men sporting heavy gold rope chains with huge medallions, and women with bangles and large hoop earrings is normal. The price paid based more on craftsmanship than the gold’s value.  Until now!  Today, the price of gold is over $1000 an ounce! That is almost four times what it was worth just 10 years ago.  The investments are starting to pay off, but many Mexicans are unaware that they are walking around flashing thousands of dollars in “bling”.

Colombia Craps Out!

Thursday, March 6th, 2008

For decades, the FARC and the Colombian Government have been locked in Civil War. Both sides have had successes and failures. But now, Colombia faces a new variable. By violating Ecuador’s sovereignty Colombia’s own Sovereignty can be violated. As Ecuador, Venezuela, and Nicaragua advance troops to their ”respective” Borders with Colombia what will stop them from attacking Colombia and annexing the country? The FARC could now hold the distinct position of being the Vanguard Force supported by a “Coalition of the Willing”.

The U.S. cannot afford to open another front, and right now the U.S. Dollar doesn’t buy much influence anyway. The billions of dollars in aid that Colombia receives from the U.S. may not be able to save it from this mess. Why? Because, despite all the funds that have already been dumped on Colombia the FARC has never been dealt a decisive blow. IF the FARC suceeds in rallying the support of Venezuela, Ecuador and Nicaragua the “Coalition” will topple Bogota.

This is the best chess match i’ve seen in years! Could we be witnessing the beginnings of the first major Western Hemisphere War of the 21st Century, and the erasure of the Colonial Borders of South America? Only time will tell.

You Can’t Negotiate with Imperialists

Tuesday, March 4th, 2008

When the FARC agreed to negotiate a prisoner exchange they fully expected  the Colombian Government would attempt to triangulate their positions and drop bombs. This is, in my opinion, the main reason FARC Commander Raul Reyes was sent into Ecuador to negotiate. It is now obvious that the communications were, indeed, intercepted. The U.S. and Colombia are claiming that this dealt a serious blow to the FARC. Do they really believe that the FARC did not prepare for this outcome? Maybe the Colombian Military thought they had located the remaining prisoners?  

Venezuelan President, Hugo Chavez, is being criticized for his reaction, but he had been warning for weeks that Colombia was preparing a cross border attack. Although, he expected it would be launched against Venezuela. So now, the U.S. and Colombia have given him credibility. Hugo Chavez held a crucial role in securing the release of other prisoners in the weeks that passed. So what went wrong?

Colombia has literally blown an opportunity to gain the release of future prisoners. They are being condemned by surrounding countries. And the FARC still marches on! Way to go, Uribe!