The peso is like a runaway freight train going downhill without brakes.

Current Interbank rate is $18.2689

If you want pesos, now is the time.

The US dollar is rising against many other currencies in the world not just the Peso........

It is a runaway but the government is throwing their US dollar reserves at it....it is just not enough to stop the drop. Experts suggest it may hit 20 to 1 by june.

$20 would be fantastic for expats exchanging for pesos, but for the Mx that have to pay their bills (rent/imports for resale), it will really be a disaster and of course, there will be a sharp price increase. Worst hit will be the low income (gardeners, maids, salespeople, etc.) workers who are on a salary or hourly pay.

no ! only affects mexicans who buy imported items. totally clueless..

We are also watching another train wreck: The US stock market taking all those “strong dollars“ away from anyone who has some invested.

Markets all over the world are down and that is why investors are fleeing the markets and purchasing US dollars, pushing it higher and higher. The US dollar has long been perceived as a safe haven in dire times.

hickton wrote:no ! only affects mexicans who buy imported items. totally clueless..

That is not true. There are many basic commodities and industrial components that must be imported. Inflation always follows closely on the heels of currency devaluations and that impacts the poor far more than "mexicans who buy imported items".

Another expert.most companies who import will have dollar accounts.here we are talking about mexicans not corporations. The peso has not been devalued it is the money markets that are causing this difference. Not only has the almighty dollar increased against the peso look at the pound.the typical mexican wont be affected especially with the generous help the american citizens who live here are now apparently paying more to their maids gardners etc to offset this so called problem.very generous.when the peso does rise will they then reduce their salary?

I have not raised what I pay the Mexicans who do work for me, but I have been tipping for extra or more difficult work. I also am having some extra work done with my peso bonus.

hickton wrote:Another expert.most companies who import will have dollar accounts.here we are talking about mexicans not corporations. The peso has not been devalued it is the money markets that are causing this difference. Not only has the almighty dollar increased against the peso look at the pound.the typical mexican wont be affected especially with the generous help the american citizens who live here are now apparently paying more to their maids gardners etc to offset this so called problem.very generous.when the peso does rise  will they then reduce their salary?

That has to be one of the most ignorant posts I have ever read on this message board. Especially the part about......well no. The whole damn thing is incredibly stupid.

There are over 100 million Mexicans. I wonder how many enjoy this special American benevolence you speak of?

Where is it ignorant? You nobs came up with it last year on the lical wb boards. Most ridiculous but not surprising thing you nobs came up with. Not me mate! Your lot..as you say ignorant at best.

hickton wrote:Where is it ignorant? You nobs came up with it last year on the lical wb boards. Most ridiculous but not surprising thing you nobs came up with. Not me mate!  Your lot..as you say ignorant at best.

What is a nob?

Mexico happens to import an amount roughly 33% of their GDP.  If you are incapable of seeing the impact imports have upon the Mexican economy then you shouldn't be calling anyone ignorant.

Very simple example.If a Mexican business must import a 10,000usd CNC machine the cost has gone up right along with the US dollar. So at the beginning of 2015 he could have purchased that machine for 140,000 pesos. Now, it will cost 180,000. Do the math. His cost has risen by 40,000 pesos so he will have to raise prices on the product his new CNC milling machine produces. And that cost will get passed along to who?

Hint: it isn't your "typical Mexican" Lakeside gardener or maid with a generous gringo patron.

If i were buying a new cnc machine i would have bought it from china taking advantage of the rmb real devaluation. However if pressed to buy from america as i already stated most mexican companies have dollar accounts.the example you gave is stupid. The p and L write off over 3years would be negligable and should lead to better productivity and would have no effect on pricing to the end user. If the owner of the factory raised prices every time to cover new equipment costs he would loose business very rapidly.

Clueless wrote:$20 would be fantastic for expats exchanging for pesos, but for the Mx that have to pay their bills (rent/imports for resale), it will really be a disaster and of course, there will be a sharp price increase.  Worst hit will be the low income (gardeners, maids, salespeople, etc.) workers who are on a salary or hourly pay.

Why do Americans assume that they are the only 'expats'? Excuse me, but a lot of us living here are Canadian, and we aren't enjoying the benefits of your strong American dollar. In fact, having to pay our rent in US dollars is getting to be a hardship.

Because you are assume that we 'Americans' think that. We 'Americans' know there are Canadians, French, British..

hickton wrote:If i were buying a new cnc machine i would have bought it from china taking advantage of the rmb real devaluation. However if pressed to buy from america as i already stated most mexican companies have dollar accounts.the example you gave is stupid. The p and L write off over 3years would be negligable  and should lead to better productivity and would have no effect on pricing to the end user. If the owner of the factory raised prices every time to cover new equipment costs he would loose business very rapidly.

And those dollars came from where? His customers? Holy moly, amigo! Do the dollars magically appear in their accounts or must they acquire them at the current exchange rate? Come on, please. Explain to the readers where a Mexican business gets the dollars for their dollar accounts.

And go ahead and buy your machine in China, Einstein. When you need a part for it, good luck. I am sure you'll suffer no drop in production in the weeks or months it takes to get the part.

Got my pop corn, this oughta be good!

:)

suegarn wrote:


Why do Americans assume that they are the only 'expats'?  Excuse me, but a lot of us living here are Canadian, and we aren't enjoying the benefits of your strong American dollar.  In fact, having to pay our rent in US dollars is getting to be a hardship.

Excuse me but any economical impact expats,American,Canadian,British or otherwise have on the Mexican economy in general is minuscule,something Lakeside expats don't seem don't seem to understand.

viajero wrote:

suegarn wrote:


Why do Americans assume that they are the only 'expats'?  Excuse me, but a lot of us living here are Canadian, and we aren't enjoying the benefits of your strong American dollar.  In fact, having to pay our rent in US dollars is getting to be a hardship.

Excuse me but any economical impact expats have on the Mexican economy in general is minuscule,something Lakeside expats don't seem don't seem to understand.

I find that quite amazing and it would be amusing if it wasn't so sad.

espíritu del lago wrote:Because you are assume that we 'Americans' think that. We 'Americans' know  there are Canadians, French, British..

If you check out the post from 'clueless', you will see why I made this comment. She said "$20 would be fantastic for expats exchanging for pesos". Canadians, French, British, etc aren't getting over 1.80 to the peso at the moment!

I believe that he was speaking to Americans, not Canadians etc, but with Clueless who knows.. ;)

Forget it. Its like trying to talk to a thick wall with most of them.

Yes, I was referring to USD and it was my speaking out of ignorance of the 9fine) points of the matter. ; My forte has never been finances and especially the international exchanges; it only became relevant to me when I moved here and the it was $10.50 to $1. I see the interbank rate for CDN closed at $12.56.

I learn something new every day, today it was about the flying cars that may come out between 2017 and 2020. The video was fascinating.

suegarn wrote:

Clueless wrote:$20 would be fantastic for expats exchanging for pesos, but for the Mx that have to pay their bills (rent/imports for resale), it will really be a disaster and of course, there will be a sharp price increase.  Worst hit will be the low income (gardeners, maids, salespeople, etc.) workers who are on a salary or hourly pay.

Why do Americans assume that they are the only 'expats'?  Excuse me, but a lot of us living here are Canadian, and we aren't enjoying the benefits of your strong American dollar.  In fact, having to pay our rent in US dollars is getting to be a hardship.

Rather a broad brush, Suegarn. A few years ago YOUR CAD was strong while the USD was weak & there was a little gloating going on from YOU Canadians but i'll qualify that by saying it wasn't ALL Canadians. I'd appreciate the same courtesy. And you don't have to pay rent in USD. Plenty of rentals in pesos.