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Euro hits 11 month high against the dollar

Euro hits 11 month high against the dollar

May 2nd, 2006, 11:00 AM
  #1  
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Euro hits 11 month high against the dollar

The Euro has gained 6.5% against the dollar this year - more to go says at least one forecaster.

I know Robespierre will have a bird but here's the address for a fuller story:

http://www.bloomberg.com/apps/news?p...currency_rates
jsmith is offline  
May 2nd, 2006, 11:02 AM
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Doesn't "11 month high" mean the Euro's worth less against the USD than it was a year ago?

So what's the fuss about?
CotswoldScouser is offline  
May 2nd, 2006, 11:06 AM
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No, this means that the Euro is stronger than the dollar (though I can't vouch for the OP wording. . . not quite sure). Anyways, I think I will stick with my Euro clients and when I move back, I am not transferring a cent into Euros unless I absolutely must. Sometimes exchange rates are like playing the stock market!
laclaire is offline  
May 2nd, 2006, 11:31 AM
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Sometimes exchange rates are like playing the stock market!

Ah, irony. Doncha love it?
Gardyloo is online now  
May 2nd, 2006, 11:34 AM
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It really is that the US dollar is at it's low. Check it out against other currencies.
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May 2nd, 2006, 11:41 AM
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Garfield, I'd describe it the same way. The Canadian dollar, for example, is at a 28-year high today, trading at 90.41 cents US this morning.

Interesting times.

Anselm
AnselmAdorne is offline  
May 2nd, 2006, 11:42 AM
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On May 2, 2005, a euro was worth $1.2859.

On May 2, 2006 it's worth $1.2627.

Says Oanda.

You're getting more euros for your dollar than you were a year ago. "11 month high" really does mean "lower than 12 months ago".

So stop whingeing.
CotswoldScouser is offline  
May 2nd, 2006, 11:43 AM
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And things looked so promising around Xmas time of 2005.
alan64 is offline  
Oct 4th, 2007, 01:33 PM
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Now the Euro is at about $1.41US and Canadian $ is at par with US$
Garfield is offline  
Oct 4th, 2007, 03:47 PM
  #10  
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Interesting to read the original story on Bloomberg from May.

What say you, CotswoldScouser? OK to whinge (whine) now?
jsmith is offline  
Oct 4th, 2007, 08:33 PM
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I suggest you get used to a weak dollar. There is nothing I see that is going to cause a quick reversal. As long as the US remains a debtor nation, with high loan default rates, and the threat that Japan could start dumping dollar denominated debt securities in exchange for euro denominated ones, and our foreign trade balance stays highly negative, the market will be flooded with dollars.

The dollar is so weak right now that the nations of Europe are fearful that it could hurt their economies. Whether or not the central banks of Euroland will take intervening steps to buy up dollars and sit on them remains to be seen.

Given that I first paid 90 for €1.00, the value of the dollar has decreased more than 60%. Or, to translate it into out of pocket costs, that €125 hotel room in Paris that cost me $112.00 in 1999 now runs me a bit more. The room itself now goes for €145 and €1.00 now costs me about $1.42. So that same room now takes $206. Slight increase!!
bob_brown is offline  
Oct 5th, 2007, 05:56 AM
  #12  
ira
 
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>Interesting to read the original story on Bloomberg from May.<

Also interesting to note that the ECB raised its rate from 2.5% then to 4% now, while the US Discount rate dropped from 5.75% to 5.25%.



ira is online now  
Oct 5th, 2007, 06:12 AM
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The Canadian loonie neared $1.02 US this morning:

http://www.cbc.ca/money/story/2007/1...ooniejump.html

Delightful news, as I am about to send off more than US$2000 to a New York bank for the rent on our apartment in Paris this Christmas.

Anselm
AnselmAdorne is offline  
Oct 5th, 2007, 06:12 AM
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The US fed lowered the discount rate in order to deal with the mortgage crisis.

The ECB will follow, just to avoid a further drop of the dollar (which is not good for Europe's export industry).
traveller1959 is offline  
Oct 5th, 2007, 06:36 AM
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I tend to not like comparing $ from a while ago to today.

Because of inflation, wage increases...a $ from 7/8 years ago in not the same as a $ from today.

Similarly...is the cost of flights ( in today's $) the same or different...I'd say different due to more competition (e.g. discount airlines).
Michel_Paris is offline  

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