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Currency Investing News: The US is courting Venezuela, does this mean the VES will go up in value?
Maybe!
According to History.com, “Overspending, lower oil prices and political unrest all combined to trigger a decline for the once-prosperous nation.”
What you want to remember is Venezuela has the world’s largest crude oil reserves. So, they were a very, very wealthy country until things fell apart.
It was around 2014 when things took a downward turn for the wealthy South American country. However, that is not what this article is about. This article is to alert currency investors that there may be an opportunity looming in the background.
You see, after Venezuela begin sparling out of control, inflation, people could not afford food, political unrest, The country went to Russia and China to find financial help.
During this time, the country got a new currency and was making efforts to reclaim their previous glory. Then it happened. Russia became the global bad boy and Venezuela is still sitting there with the largest oil reserve in the world.
It has become increasingly difficult for the country to export large amounts of oil because somewhere down the line, Venezuela stopped repairing and upgrading the oil extraction facilities. In other words…
