Cautious reaction to peso devaluation

ARGENTINA - The Argentine people have reacted cautiously to their new government's decision to devalue the peso and end 10 years of parity with the US dollar in a dramatic bid to save the collapsing economy.

The new rate - of 1.4 pesos to $1, a devaluation of nearly 30% - could take effect within days.

An ultra-cautious reaction is hardly surprising, since a procession of five presidents in little more than two weeks on top of years of mismanagement has left little faith in politicians or their

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Geoeconomic reserve management

The world order is evolving. Whether, and how, the international economy remains integrated or shifts into spheres of influence has consequences for central bank policy and reserve management.

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