BBC News - How the US 'lost' Latin America.

"I am the only voice that I know who has been recommending that Brazil adopts the euro"

Lots of business in Brazil and South America is already being done in dollars and with dollar looking vulnerable, it might not be a bad idea to replace dollar with euro and this especially holds true for those who own lots of US debt: China, Japan, UK, Dutch etc. These nations need to lighten up their dollar holdings or gape into the mouth of crisis.

"They're English, who supported us in Iraq, therefore they "are for us". Hence, what they say is more true."

Who says English appreciate the US, for them playing partners to US is only a marriage of convenience that they would very willingly break off in the event any Western European power rises, Germany, France or EU as a whole. British look down to the US as degenerate inferiors with bad manners, no culture and loud mouths. US should not put absolute trust into nations like UK, Canada or Australia. Go there yourself and find out how they treat the Americans. One reason why US economy is in shambles is because US sponsored the defense of Western Europe, Canada, Australia for 50 years and is still doing so without much appreciation and favors in return. While during the Cold War such expenditures were needed and paid off in 1991 with the end of Communism. However, after that US missed a golden opprotunity to cut down on defese and get good chunk of debt cancelled out with balanced budgets and items like social security, medicare, education, civic standards having secure funds to look into the future. Then came Bush, 9/11 and Iraq War and the triple whammy is now hurting the balance sheets. Not to foget the 'exposure of real abilities' during and after Katarina storm.

 

I would vote in November 2008 for a ticket: “Al Gore/Bill Clinton”.

And I am sure a majority of Americans would vote for such a presidential ticket.

You bet!!

P.S. Who am I arguing with here???LOL

 

Read: Confessions of an Economic Hit Man, or any good objective history of US relations with Latin America. Or, alternatively, just remain blissfully ignorant.

bt

 

.

Toc: Lots of business in Brazil and South America is already being done in dollars and with dollar looking vulnerable, it might not be a bad idea to replace dollar with euro and this especially holds true for those who own lots of US debt: China, Japan, UK, Dutch etc. These nations need to lighten up their dollar holdings or gape into the mouth of crisis.


********


April 10, 2006

SouthAmerica: If you are a trader then you must be aware of that Brazil has been paying most of its debt denominated in US dollars. Brazil has paid in full all its debts to the IMF, and the left over debt to the “Paris Club.”

You also must know that Brazil started in 2005 borrowing money in local currency instead of US dollars.

The only problem from the Brazilian point of view is that – Brazilians have over $ 250 billion dollars invested outside Brazil – and a large portion of that money is invested in US dollar denominated assets. (That was a figure from 2 years ago – today I don’t know how much of that money has been moved from the US dollar to other currencies.)

If they kept their US dollar investments in the last two years then in terms of the Real (the Brazilian currency) they lost their shirt since the US dollar lost a lot of its value against the Brazilian currency during that period.


.

 

Sadly, too much to hope for... Ignorance usually prevails...