This page has been archived and commenting is disabled.
Peru Shows Fed Who Is Boss, Buys $12 Million Worth Of Dollars
Someone may want to advise the Peru Central Bank that when entering global thermonuclear FX and SPY-manipulation warfare, coming armed with a water pistol against Bernanke's armada of nuclear-armed B2 stealth bombers, may not be the most prudent thing. The Banco Central del Reserva de Peru announced on its website that it has just bought $12 million worth of dollars.... Yeah, $12 million.Which is about half of what Brian Sack pays in brokerage fees every other day when he does the TIPS-for-AMZN swap.
»
- 7209 reads
- Printer-friendly version
- Send to friend
- advertisements -
..... and paid for it with coca leaves.
Naa, refined pure Peruvian Flake that was running low for resupplying Obama, Geithner and a few of the bubble heads at CNBC.
iAy Papi!
: )
Peru kicking ass and taking names.
dumb asses, bringing a knife to a gun fight
Make that a dull knife
Hey give'em a break, their trying.
+1 LMAO!
Maybe it was just a day trade on a USD bounce.
It's like pissing into Niagara Falls really.
They do this on money repatriation dates. The 12 million they spent produced a profit as they repatriated more money in a better one-time exchange rate.
Oracle and I would advise everyone not to count Peru out!
The Peruvian Sol has been going up sharply vs. the US$ for a couple of years now. That hurts their exporters.
On the other hand, the strong Peruvian Sol is GREAT for our bearing import company there!
Peru putaz!
Ya but don't you think the system is wacked.
Normal - Your currency is going in the toilet. You must take your acquired foreign currencies and dump them to raise your currency.
Globalized Weirdness- Your currency is going through the roof. You must buy up the biggest turd currency on the planet to put in reserve to drop your currency like a stone.
Don't discount Peruvian gold, silver and copper mines either. The ultimate source of hard currency.
Dochen, we wil be in Miraflores this Christmas. Will try to visit your store.
Tell them you are a virtual friend of "Robertito", I will tell Lily so she is ready for strangers...
You mean Nuevo Sol.
Nuevo Inti comin' right up!
Slow news day?
anybody else hear Limbaugh bump ZH about the POMO thing?
oh! and if there's no POMO tomorrow then equities could sink like a turd in a snowbank
I sure did!
ZeroHedge getting famous!
Easy Pedro, the Organ Donor's past it's sell by date.
Oh fuck it. Throw in an archeologically significant wooden phallus and I'll sell you mine, too.
The Peruvian version of Fat Fingers
should have bought gold
Maybe a good idea to buy SOL instead of Gold now.
It is for the long run. Peru produces 200 tons of gold/yr.
Soles, bitchez!
+ 2.75! (Soles / US$, approx.)
Hey, water pistols work great against the Wicked Witch of the West (ie Ben).
Joking aside, this is a war against their own citizens, not really a war against other powers. They just need to buy enough to destroy their currency, they don't actually need to bouy the dollar.
Exactly -- their monetary base is only $16B
Kicking ass? It was more like violently ripping off a hangnail!
$12MM.. probably like 1/2 the countries GDP so ya, its kinda a big deal.
where is dochen and his bearing business in peru? you would think he might want to comment or be worried.
Just got here Kathy.
Not worried at all. The Peruvian Sol has been on a two-year tear vs. the US$. That has benefited our business there very much. The Peruvian government spending some money to buy dollars does not bother me.
Above reply re buying gold rather than US$ made sense to me.
Interestingly, last time I was in Peru, one of the newspapers there was wondering where PERU's own (national / central bank holdings) gold was...
got, COIN?
I do! Peru, who knows?
...
And, you will like this Kathy, I just bought gold yesterday, at its all time high (as of yesterday), so have no worries about buying gold when its price seems "high".
oh, i am so glad you included that comment. ;-} ;-}
you should of said:
I do! Peru, who knew.
it really rhythms.
They haven't asked me for advice, but if they do, I will advise buying physical gold then having a press conference. It's the only thing that will get the Fed's attention because it's first in line to scoop up the mess after the USD is deemed inappropriate for use as reserve currency.
POMO'ing the US stock market and being sloppy about covering their tracks is the last freakin' straw.
That's what I've been talking about. Why not devalue against gold via direct purchases and then get an asset they can later sell into the market if they want to buy back their own currency? I can only think that a public announcement of doing it would draw the baleful gaze from Mordor on the Potomac.
Mordor on the Potomac.
LMAO!
"Mordor on the Potomac."
Oh, I am so keeping that one.
Go ahead. Mike Church coined the term first.
It's made the rounds then. I picked it up on LewRockwell.com
One does not simply import gold into Mordor!
HAHA - This term is going to stick I can tell.
LMFAO!!! I can see the head of Perus CB saying in spanish: "A couple of million here, a couple of million there and pretty soon we are talking real money!"
NICE!!!
The SAME country that received dozens of millions of dollar to rebuild their infrastructure from the US of morons, IS NOW BUYING MILLIONS OF DOLLAR OF DOLLARS IN THE VERY SAME COUNTRY TO MAKE MONEY FROM IT!!!
LET'S DO ANOTHER PHONE MARATHON FOR THOSE POOR POOR SUCKERS!!!
LETS JUST PUT A RED CROSS ON THOSE DOLLARS TO MAKE THEM FEEL GOOD!!
Wait.....
Do they have a central bank or is this a false flag operation by the Fed and the NY Times?
Conspiracy bitchez
Where is Larry Summers when we need him? Larry. Don't go Larry, please don't go. (apologies to Alan Ladd)
Do they have a central bank?
Yes, I have seen it myself. It is located in a kiosk at the airport, next to the car rental. It is a very good location.
LOL. come to ZH for these jokes...
LMFAO!
The simply wanted to show the FInger to Ben, gooooo Peru
Vamos Peru!
http://www.bloomberg.com/news/2010-09-28/u-s-dollar-is-one-step-nearer-t...
Deep Thought: "Who will that inconvenience?" {Oh, that's right, just about everyone :((}
Like a penny tip
But Peru could have got dollars cheaper in November!!
goonsucks: There's Now A 25% Chance The Fed Will Make Money Absolutely Free To Borrow In November: Goldman's probability model, there's a not-insignificant chance (26%) that the Fed surprises the market with an interest rate cut to 0% itself.Read more: http://www.businessinsider.com/goldman-theres-now-a-25-chance-the-fed-will-make-money-absolutely-free-to-borrow-in-november-2010-9#ixzz10qvGmlQa
So Peru a 1/4 pt shave in November makes free money near worthless money soon in my book !! Bad buy all the way around!! Should have bought physical gold/silver!! They've been screaming bendover burnokio is flocked!!
It would be funny if a 0% intrest rate causes a divide by 0 overflow and tanks the markets.
its all joran Van der Sloot's money there using.
LOLOL! Nice pick up Waterfront! Bails been set at 1 quadrillion dollars!! ROTFL
Van der Sloot has a long 30 years ahead of him, especially once some BAD CHOLOS get that white bread...
money laundering, for the win! ;)
That does it. This means war.
http://www.bloomberg.com/news/2010-09-28/former-president-carter-is-taken-to-cleveland-hospital-with-upset-stomach.html
I don't even know how to comment on this one...lol
Hey, they only wanted the freshest - so they bought was was printed during the last hour. Don't worry, when that gets stale, they'll line up to buy more - providing it was just printed and still has the new-money smell!
Eat Fresh! <- to steal a tag line...
go ahead, make fun of peru, then go look at EPU.
Peru's economy has been roaring for years. They export a lot of stuff the rest of the world wants (copper, gold, textiles (Land's End has nice Peruvian polo shirts), coffee, cocoa, crude oil, other metals, etc.).
That all could change on a dime (or even $12,000,000) for many reasons.
Here's a simpler explanation: they know they're not going to move the price. Perhaps a more reasonable conclusion is they're beginning a buy program on a cheap asset, anticipating its future value.................
Man that's funny. I about wet my pants.
It's the only possible explanation for blowing $12mil like that. They either want death by devaluation or are seeing something we aren't.
Come on Tyler, 12 million would look just fine, converted to gold coins and dumped in my hot tub. Let's honor the spirit of the thing. $12 million is a lot of sheep dip.
People who have not been to Peru do not know that Peru has two currencies. Nuevo Sol and the US dollar. Even the ATM machines dispence dollars.
You can shop openly and freely in either currency.
If they bought $12MM, there had to be a good reason.
Restocking said ATMs? :>D
Guess they are betting on deflation and bank closings ,where cash becomes king.Who knows maybe they know something we don't .
bing-o-ling?
Never underestimate an angry pigmy.
"Hey...Hey! Fuck you Bernanke!" -Peru
"Hey Ben...say hello to my 'lil friend" - Peru
THIS IS FUNNY!!!!
I've had my daily laugh.
What a waste of 12 mil...they really think they can do what? should have bought food for the poor.... Knuckle heads!
The elite of Peru could not care what happens to the native Inca. They all came from Europe and Asia.
I'm sure thats true...but if they had not come the natives would really be in deep shit.
I get you're point though.
Our folks at our company are not the Euro elite like at most of our competitors. There is much truth in what you say about the elite vs. the Inca.
But, when we took our daughter to Cuzco two years ago, we saw THEIR flag more, a rainbow... And one of our tour guides (a local) really pasted the Spanish while taking us through an Inca building there. Turns out that almost half that group was from Spain, LOL.
Money IS trickling down to the Native Peruvians. The country really is moving ahead. Now if they can just keep some decent people running the country and not elect some leftist turkey like Ollanta Humala, they might come out OK.
Gold vending machines to debut in US :
http://www.msnbc.msn.com/id/39383743/ns/business-personal_finance
great, a new source of gold
they'll last about as long as a paper shirt in a bear fight before they're ripped off
Rapacious! Funniest damn thing I've heard all month! Paper shirt in a bear fight! ROTFL Lets install these gold money machines in Watts & Harlem for coast to roast coverage!!
Must be the reason the market turned green then.
Timmah: Ben, didju hear that the exchange kiosk at the Lima airoprt just bought 12 million?
Ben; Say the fuck what, Timmy? (as he flushes golden commode expropriated from MLPF&S office of J.Thain.)
Timmah; Yeah, 12 million. Dollars. The Cambio do Pay-rue. (Snigger) Just bot'em.
Timmah; Why you lookin' at me like that? You lookin' at me? Why....
Ben; 'Cause you're the only retard in the room. Fuck Cambio-do-Payrooo. You're a moron, Timmy, a fucking moron.
Timmah; OK?
Ben; No, Timmah, I'd say it's a long fucking way from OK.
Hilarious! LOL.
Nice going Peru. You just complicated a rounding error somewhere on the Fed's balance sheet.
Maybe this is just toe-dipping-in-the-water. Perhaps next time will be $120 million, then $1.2b, then $12b. Then before you know it, full-fledged currency fiat wars in the western hemisphere...
Ooooh, look Peru! Aren't they cute?? :-)
They could just print their own US dollars. It's not counterfeiting if a government does it.
Probably getting paid in $1 bills, bleaching them, then presto-chango...they are turned into $100 bills. Fucking evil geniuses those Peruvians.
There's got to be at least $12M of the old style 100s that are easier to duplicate, so they could do it old school. Or they could one-up everyone and just counterfeit treasury IOUs. $12M of jack bonds in a sea of trillions probably won't even be noticed. Suckas!
At least if the US is going to print so damn much money, the least they could do is go back to the old bills, and save the money on those silly holograms and schmancy fancy ink. But I guess benny and the inkjets want to throw the ink and paper producers a bone. Hope their suppliers are demanding payment in gold.
If only they were printing! I can assure you that the vast overwhelming majority is just numbers on a hard drive. Even running 24/7 printing nothing but 100s I doubt they could keep up with Zimbabwe Ben. After all printing 1*10^12 dollars would take time, but can be done on a computer with few keystrokes. No need to mess around with ink and delivery new bills on trucks. Now that's progress!
Those wiley keystrokes. Sigh. How kind of citizens to gift their substance to the banks and then pay them interest for loaning it back.
So, is that "Ctrl-P?" Damn, it don't work on my PC! :>D
@ NumberNone,
Most of the fake $100 FRNs (and there is not as much counterfeiting of US$ as you would think) apparently come from Colombia I heard.
Of course, there are Peruvian counterfeiters of our KOREAN bearings! They buy up cheapo Chinese, stamp "KBC" on them, put them in a fake box, and out they go. Friggin' cops won't do anything about it...
I think the US should get its bearings and stop printing dollars.
Is that what that little 10/20 pip move on dollar pairs was?
Another crazy explanation: drug money is typically dollars (truly a "global currency"). Money laundering in progress?
The choice of drug cash money is now the 500 Euro note. Like a $700 note. A lot less volume. The Spanish banks in South America are loaded with them.
Be careful to keep them rolled or keep them flat as if you fold them in half and they get a bit torn in the middle edges, they will deduct 5-10%, if you want them exchanged or deposited.
So when we get these gold bullion dispensing machines in the US will they go over like lead ballons; Hindenburg omens, when no gold exist to fill these high tech gold dispensers!! We'd do better to put in USD dispensers in national parks, since budget can't afford regular arse wipe!!
The mouse that ...
... okay, maybe not roared. Peeped a little bit.
Still BB must be rattled! No? Well it would have been nice.
+1
Reminds me of the Dr. Evil (or whatever) on Austin Powers who says he will blow up the world unless he receives a ransom of "1 million dollars".
lmao
Ha ha yeah...insert pinky into corner of mouth. Everyone laughed at him because, being transported from the 60's, he still thought $1MM was a lot of money. Says something about inflation I guess...nowadays, billion is the new million and trillion is the new billion.
LMAO
Tyler, you are just too much. Luv it.
12 million.
This is why I read ZH. Hilarious.
I have sold more $ in a week, so somehow i dont think anyone would be so dumb as to think this amount would even move the buck one tick. C'mon guys this is just plain old racism. Funny, though.
So the new CFTC rules on leverage are designed to protect the little guy, including Peru, right? Seriously though, the leverage rules have me a bit pissed at the moment.
.
I was speaking with several international investment professionals one on one recently and most still think the US is unflappable and the capitalist beacon of the world. Some actually thought the US was one of the few if not only country without government market intervention.
I was sorry to inform them that the jig is almost up and we will all be on the same playing field soon enough. Everyone has heard of shock and awe but it has a new definition and it is called wealth destruction through currency debasement.
Ben Bernanke: "12 million dollars?! They found more than that . . in my stool!"
Don't be shallow tyler, it's a matter of principal!!!
i love zerohedge policy cheap hosting