“I’ve just had one fixed term account in dollars for some time, and I’ve decided to put it in pesos, it’s more profitable to have it in [Argentine] pesos.”-Cristina Fernandez, President of Argentina

7 June 2012, la Presidenta also urged “…any officials who’ve got a few little dollars to do the same thing.”

Argentina is the number three economy in South America.  However, having a booming economy has resulted in an inflation rate around 9 to 10%!  The result is that many people, and banks, in Argentina are buying up U.S. dollars to try and hedge against hyperinflation.

Argentines have been there done that many times before.  Many people bought U.S. dollars to survive Argentina’s notorious hyperinflation in the past, but this time the U.S. economy is in the toilet, so buying up those gringo dollars might be a bad move.