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-   -   Come to Europe now...before the dollar really tanks! (https://www.fodors.com/community/europe/come-to-europe-now-before-the-dollar-really-tanks-377575/)

BTilke Nov 19th, 2003 01:04 PM

Come to Europe now...before the dollar really tanks!
 
Talking heads on CNBC and CNN International today were moaning about the falling dollar. A couple said it would sink to 1.3 USD to the euro or worse by mid summer...so come over now! (also projected: $1.80 to the British pound)

(CNN excerpt):The Treasury Department released figures Tuesday showing that foreign investment in U.S. stocks and Treasury notes slowed sharply in September --which pressures the dollar since there is less apparent demand for U.S. assets. As a result of the deficit, foreign money must constantly flow into dollar-denominated assets just to keep the greenback stable. Eventually, say the dollar bears, foreign investors are going to decide enough is enough and the dollar will be in for a sharp adjustment.


Christina Nov 19th, 2003 01:31 PM

I think they predicted that last year, also, didn't they? I just seem to remember something like that, but it never got worse than about $1.18-1.20 like now. I was caught off-guard by this as it had rallied a bit a while ago, but I heard today it was at it's lowest point vs. euro ever. Well, I'm going in Spring and was hoping it might be a little better by then than now. I didn't think some of those European economies are in such great shakes now, either, though--I know they have pretty high unemployment in some countries.

I have the history of USD vs. European currency on my desk, and if it did go to 1.3 that would be similar to 1995-6 and I was there then; it would actually be better than 1980 when the USD was only worth the equivalent of .64 euro (in the franc, for example).

Ally75 Nov 19th, 2003 03:04 PM

Ouch! And our Germany trip is locked into end of May. I think we'll be eating alot of kaese sandwiches!

Bob1 Nov 19th, 2003 03:30 PM

Don't sweat the dollar. Just eat a few less meals and have a good trip.

I was living in Germany in the Army in 1970-71. The dollar sank like a rock in that time. It still did not prevent my wife and me from traveling Europe and enjoying the area.

In fact, we were camped in Germany heading for England on the night of August 14, 1971 when President Nixon devalued the dollar. We arrived in London with only dollars in our pockets that were now worth 25% less than they were the day before. Result? We spent 10 great days in London and had a good time.

Forget the dollar....go to Europe and have fun!

rex Nov 19th, 2003 04:43 PM

1.30 to 1.35 certainly was predicted - - about June as I recall - - to occur later in the summer. Never happened.

Best wishes,

Rex

MarkY Nov 19th, 2003 04:50 PM

I think the European tourist boards are doing these "predictions".

keb0503 Nov 19th, 2003 07:01 PM

i was in madrid in june visiting friends. their opinion was that the euro was high and would "crash" at some point soon. unemployment there was high and wages low to the cost of living. they felt the countries with stronger economies were pushing it up. i don't know or keep up with any of that kind of stuff so i'm just going off their opinion. but i know as soon as it does i will be there :)

JonJon Nov 20th, 2003 01:58 AM

The dollar was 11 cents BETTER against the Euro yesterday than it was a week or so ago when I went to The Netherlands..so much for "predictions."

earlxx Nov 20th, 2003 04:31 AM

BTilke, thanks for this wonderful news. As a result we will be canceling all our trip to Europe until US $1.00 = 0.86 euros. How about that?

BTilke Nov 20th, 2003 05:29 AM

earlxx, my guess is that you won't be going anywhere til you get your new credit cards and ID, regardless of the exchange rate. If you do go to Europe, better keep a close eye on your wallet!

elaine Nov 20th, 2003 06:10 AM

Hi
Unless you're camping, did a week in Disney World or Hawaii or San Fran or my own NYC suddenly become LESS expensive? I don't think so, but it would be interesting to see an analysis for a week's trip, in high or low season.

WanderingTexan Nov 20th, 2003 06:59 PM

I am watching the rate! My daughter is getting married in Italy in June so it will make a big difference to me since I am paying for the wedding, my trip, the grandmother's, etc. Ouch!!!

Flyboy Nov 20th, 2003 08:10 PM

There was a thread on the U.S. board today about what people are paying for vacations to Hawaii, on average. The dollar would have to go down a LOT more before the cost of traveling in Europe began to reach the lofty levels being discussed.

Patrick Nov 20th, 2003 08:13 PM

Jon Jon, I'm confused. You're saying the dollar to the euro changed by 11 cents in a week or so? Would you care to attempt to explain what you're talking about?

rex Nov 20th, 2003 08:25 PM

Maybe he meant .011 rate change? (1.1 cents?)

Patrick Nov 20th, 2003 08:35 PM

Ah, yes, well maybe.


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