$2.04 per £1.00
Jul 17th, 2007, 08:52 AM
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$2.04 per £1.00
As of today, July 17, the price of £1.00 reached $2.0468 at the bank wholesale rate. Any predictions as to how low the dollar will go?
I wonder if travel by Americans to the UK has declined as a result? Anybody seen any reliable figures on tourism?
I wonder if travel by Americans to the UK has declined as a result? Anybody seen any reliable figures on tourism?
Jul 17th, 2007, 09:04 AM
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The 2.05 pound means little to me but it does ring loud that London, even before these astronomical highs was terribly expensive and this news only reinforces what folks have found for years.
They think gee it was so expensive two years ago what must it be like now - even though the raise is minor and perhaps temporary.
They think gee it was so expensive two years ago what must it be like now - even though the raise is minor and perhaps temporary.
Jul 17th, 2007, 09:37 AM
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I'd bet..that if you had taken a trip to London when it was at...say $1.75...you could take another trip today and not pay any more today...by judicious use of Priceline, going off season,etc. It's a number, it just means you might have to ne more creative.
$2.04 versus $1.75 is ~15%. Your plane fare is in $, so it is your hotel/meals/spending that will have 'possibly' have changed by that amount.
How much do you spend in London, say for 1 week? $2000?. Difference would be $300. Would you pay $43 more a day to be in London? Could you save $300 by planning your trip differently?
I live in Canada. We've had exchange rates norht of $2.50 for the pound. We adjust.
$2.04 versus $1.75 is ~15%. Your plane fare is in $, so it is your hotel/meals/spending that will have 'possibly' have changed by that amount.
How much do you spend in London, say for 1 week? $2000?. Difference would be $300. Would you pay $43 more a day to be in London? Could you save $300 by planning your trip differently?
I live in Canada. We've had exchange rates norht of $2.50 for the pound. We adjust.
Jul 17th, 2007, 10:40 AM
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Also, keep in mind that the bank exchange rate only applies to currency, and does not really address the cost of goods. A dollar will buy you fewer pounds, but not necessarily less stuff. There are so many other factors. The price of your plane ticket, for instance, has nothing to do with the exchange rate. Many things are much less expensive than they were ten years ago; many things are more dear.
Prices change significantly enough over a long period that the change in exchange rate is only a relatively small portion of the difference. My unscientific impression is that airfare is pretty cheap, considering the cost of fuel, while hotels are insanely expensive. Restaurants have spread more -- the difference between the cheapest pub grub and the nicest restaurants is much more than it used to be; but the difference is on the high end, not so much the low. If you adjust for inflation, the chippy or the corner curry house is cheaper than it was ten years ago no matter what the exchange rate. I might be wrong.
Prices change significantly enough over a long period that the change in exchange rate is only a relatively small portion of the difference. My unscientific impression is that airfare is pretty cheap, considering the cost of fuel, while hotels are insanely expensive. Restaurants have spread more -- the difference between the cheapest pub grub and the nicest restaurants is much more than it used to be; but the difference is on the high end, not so much the low. If you adjust for inflation, the chippy or the corner curry house is cheaper than it was ten years ago no matter what the exchange rate. I might be wrong.
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