Ackkk!! The Euro is going up as I watch it. I leave for Paris on Sunday!!
 

It's now 1.37 to the dollar. Buying in advance would cost $1.44 today. Probably more tomorrow. What to do?? I'm glad the apartment is paid for!

Hi, gomiki. I'd certainly wait and get Euro at an ATM once you get there. But then again, I'm no financial expert! I just know that my SIL just came back from Ireland a week ago and mentioned that it'd recently been down to a dollar twenty something.

Hi go,

Up from about $1.25 last week.

"que sera, sera".

The Fed is going to "buy" $300B of Treasury bonds.

This is the beginning of the big slide in the dollar.

Think how happy you will be when it is back to $1.50 when I go in Sept.

((I))

Caph, it was 1.25 just a few days ago!!

That's so frustrating, gomiki!

I booked some hotels a couple weeks back when we were 1.27ish and I just got my CC bill...they converted me at 1.30!! In the past this CC has been within a penny of the 'official' conversion rates.

ira, it's all relative I guess. Someone in our party bought them here a few weeks ago and paid $1.34 with the fees. That looks good now!

Caph, yes, it is. That's 12 cents on the dollar more today than a few days ago! I wonder how high it will go.

IRA is quite correct. The Fed is flooding the U.S. banking system by buying Treasury securities, thus increasing bank liquidity in order to encourage bank lending. Inflation here at home -- just now -- is negligible. Our exports also will be encouraged by a cheaper dollar. However, those who can afford European travel will have to bite the bullet and suffer with this cheaper dollar. Over time, as our economy improves, inflation here at home most likely will become a greater concern. Remember Gresham's Law? It works. We hope.

This is one reason why I never cash in my euros or swiss francs before coming home. I know (barring unforeseen circumstances) that I will be returning to Europe and will need their currencies again. No matter the rates... I keep what I have "left over" which can sometimes be rather substantial.

Heading to ZRH next Thursday with my supply of francs and euros in hand.

Gomiki, have a great time. Will you be in BOS in Oct again?

Carol

USNR, thanks for increasing my knowledge. I looked up Gresham's Law.

Carol, have a wonderful time! Yes, I will be at the GTG (g-d willing). I hope to see you there!

Carol-Are you in Bangkok right now? Will miss you at the L.A. GTG day after tomorrow. Happy Travels!

Does anyone know anything about these Travelex cashpassport cards??--it's a prepaid foreign currency exchange card. There are quite a few of them in UK but AFAIK, only this one here in US. You can put up to maybe $10,000 (not sure of the top limit)and exchange them for euros at current rates--i.e., lock it in before dollar continues to slide further. There is a $10 one-time fee for the card and it does charge ATM fees (not sure how much--$2.00 or so?) when you take the money out. Obvously there is also the initial currency transaction fee that they charge, which I think is much higher than you would get doing it in Euroland, $200 at a time--but you've locked in today's rate. I have about 4 hotels that I've booked (I'll be in Italy 6 weeks, France for 1) and only paid a down payment on one of them. I'm getting freaked by the weakening dollar and trying to think of something I can do to lock in current rates. I might repost this to get more responses.

gomiki, forgive me for highjacking here. But I have a related question. I need to buy train ticktets for mid-June London to York then York to Edinburgh. I was told I can save a fair bit by buying them 8 to 12 weeks ahead. This past Monday was the 12 week ahead mark. I haven't checked the web site so don't know whether their prices are at their lowest. But, assuming they are (or near there), do I buy them now anticipating that the GBP will go up between now and the 8 week mark?

Not sure of the sense of frustration here. Assuming that you are using US$ as your base currency and using Yahoo's currency converter, Monday's rate was 1$US = .7704E. Today (Thursday) it is 1$US = .7326E. You are only looking at .04E or .07$US over the time period.

samoca: See the responses on your other thread . . . .

And quit freaking -- it'll only upset you for no reason.

Caph, maybe you will do better with a new post. It's probably anybody's guess. If we knew we could make a lot of money in the currency market!

Good point, gomiki! :)

Hi Sam,

>Does anyone know anything about these Travelex cashpassport cards??<

A little.

They charge you for the card.

Then they charge you a high exchange rate to put money into the card.

Then they charge you to take money out of the card.

Unless you are know for certain that the USD will fall significantly farther against the E, why bother?

If you do know for certain, when should I short the dollar?

((I))

Gomiki, the exchange rate is always a crap shoot....just don't think about it and have a wonderful trip. The exchange rate looks awful but your portfolio's probably looking better this week.
When you look at the big picture, the increase would most likely not be enough for you to cancel if that were an option...just have a meal or two in the apartment as opposed to restaurants and you may recoup the increase.

Well, I've been looking at euro to dollar projections going forward for 2009--but of course it's a bet and I'm not really a bettor (except for having way too much money in the stock market last year, argh--not a unique situation unfortunately for all of us). But you'all are right; I've been too in love with the cheap euro and worried it's going to get too much like last year with the euro above 150. And it's true that the European economies are actually in much worse shape than ours. Apparently it's Merkel in Germany that is instrumental in keeping Euro strong right now.

Ira: I can't tell you to short the dollar (wish I had inside info myself).