Friday, January 06, 2006
Could he wind up on Wall Street?
Anyone remember all the moaning and groaning coming out of certain quarters a few months ago when Chavez had Venezuela's foreign reserves transferred from US dollars to Euros? Don't expect to hear much about it from those whiners anymore. The dollar just reached a three month low against the Euro showing indeed what a brilliant move this was by Chavez.
In fact, the Euro gained 3% against the dollar in just the past week. So, if we assume that say $10 billion out of the aproximately $30 billion in foreign reserves were part of that switch then Venezuela just made 300 million dollars ($10 billion times 3%) on that switch in the past week alone!!! Maybe that will help pay for a new bridge.
If the Venezuelan electorate is foolish enough to vote Chavez out later this year I suppose he can always get a job as a currency trader on Wall Street.
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In fact, the Euro gained 3% against the dollar in just the past week. So, if we assume that say $10 billion out of the aproximately $30 billion in foreign reserves were part of that switch then Venezuela just made 300 million dollars ($10 billion times 3%) on that switch in the past week alone!!! Maybe that will help pay for a new bridge.
If the Venezuelan electorate is foolish enough to vote Chavez out later this year I suppose he can always get a job as a currency trader on Wall Street.
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