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From: ekrell@ucla-cs.UUCP
Newsgroups: net.invest
Subject: Re: Mexico Fund (disadvantages of closed end funds)
Message-ID: <9242@ucla-cs.ARPA>
Date: Fri, 21-Feb-86 12:48:07 EST
Article-I.D.: ucla-cs.9242
Posted: Fri Feb 21 12:48:07 1986
Date-Received: Mon, 24-Feb-86 06:43:55 EST
References: <285@hropus.UUCP>
Reply-To: ekrell@ucla-cs.UUCP (Eduardo Krell)
Organization: UCLA Computer Science Department
Lines: 14

In article <285@hropus.UUCP> Kenneth Almquist writes:
>
>Does anyone think that Mexico is headed for better times?

Not me. The drop in oil prices means bad times for Mexico. They just had to
lower their prices some U$ 4/barrel. Every drop of a dollar in oil prices
means billions in lost revenues. The exchange rate is running now about
500 pesos for a dollar (It was 300 a few months ago). Currency analysts
predict a 1000-to-1 exchange rate before the end of the year. Thus, stock
prices would need to double just to preserve your current investment in dollar
terms. That is unlikely.
-- 
    Eduardo Krell               UCLA Computer Science Department
    ekrell@ucla-locus.arpa      ..!{sdcrdcf,ihnp4,trwspp,ucbvax}!ucla-cs!ekrell