Exchange Rate?

Criss Colon

Platinum
Jan 2, 2002
21,843
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yahoomail.com
Artificial manipulation by the big "Players"!

They push the price down,to buy Dollars,then they push it up to sell the Dollars at higher prices.My advice,sit on your "Euros" and Dollars,and sell them at 50 and above! Cris Colon :eek:gre:
 

Chris

Gold
Oct 21, 2002
7,951
28
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www.caribbetech.com
I have been thinking about the manipulation effect, but it seems such a solid, slow trend --- a little lower every day. Are 'our' manipulaters clever enough to keep up the downward pressure and for how long?
 

Lambada

Gold
Mar 4, 2004
9,478
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www.ginniebedggood.com
Agree. Either government needs to buy dollars to pay electricity companies (thought you'd like a good laugh!) so is pushing rate down, or has spare pesos they want to convert to dollars.....for a later windfall when rate goes up again.The way I determine whether this is internal DR "tweaking" of exchange rate is to check what dollar is doing against other currencies.
 

toneloc24

Bronze
Mar 8, 2004
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I actually buy into the Criss Colon way of thinking regarding this. Suddenly they are paying bills, dropping interest rates, and the peso strengthens against the dollar? Anyone know of any drastic economic improvement or even a legitimate plan to support sudden steady DR peso strength in the DR? Call me cynical, but I'm thinking it's the final shot at another money grab.

Onto a related subject (sore spot in DR with me): Does this means that establishments such as Morua Mai, Jose O'Shea's, and the lot who have "dollarized" their menus, will return their menus to pesos? Supposedly, this was done to combat the weak peso.

Or will they continue to gouge unsuspecting tourists with their dollarized prices?

Viva Rockys, The Waterfront, La Roca, PJs, the Sousa beach spots, Cabarete Blu and the other decent eating fare beach spots there, Ahi Bar, Kokara Macara, et al who kept it peso regardless!!!!!!!!!!!
 

Barnabe

Member
Dec 20, 2002
507
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The exchange market is a shepherd market.

You can find reasons for the peso to go down (payments to be made abroad,...) and other for dollar to go down (more trust in Leonel,...).

Now, in my opinion:
- you cannot find any rationality in short term exchange rates variation
- if most people think the dollar will go down, it will probably do so, at least for a while. It is extremely costly to go against the market, especially on a spot market without futures. this is not like real estate.

Barnab?
 

Chris

Gold
Oct 21, 2002
7,951
28
0
www.caribbetech.com
toneloc24 said:
Onto a related subject (sore spot in DR with me): Does this means that establishments such as Morua Mai, Jose O'Shea's, and the lot who have "dollarized" their menus, will return their menus to pesos? Supposedly, this was done to combat the weak peso.

These folks lost a lot of 'local' custom. We used to go to Jose O'Shea's regularly for a burger and a beer but have not been there since they dollarized their menu. No way Jose!

Onto more serious stuff (and I am laughing about 'payment' to electricity companies), I'd like to know people's thoughts about how long this current 'down' will last. We have a big customs bill coming up and would obviously like to pay it on a high - around 50 pesos to the dollar will suit my pocket right now :).
 

ERICKXSON

Bronze
Dec 24, 2002
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www.creambay.com
The DR. Peso devaluation is mostly political a change in government will do the trick let's see what will happen after AUGUST 16th lets wait and seee


$30 Pesos for Usd $1 ummmmmmmmmmmmm! am i dreaming let me stop drinking this water.