Euro Today
 

Yessss...(sorry friends in euroland)

The euro has crashed through the phsychologically important $1.25 level which means the US dollars is now above 80¢ (euro)....or to quote our friend Ira, this will hopefully (for US travellers of course) continue until the euro starts up again..

Just as a footnote because of course nobody really knows how long this will last (eyes it could start going the other way romorrow) I remember when the "experts" predicted the Euro would be close to $1.50 by summer so the real point is nobody knows what will happen next and there really is no sense in worrying about it. What will be will be (wasn't there a song once with those lyrics?)

Sorry for the typos above...I just don't have the wherewithall to proof read what I write and this forum is a bit technologically behind as once you post you can't edit unlike most others but anyway...

Here is an interest article from the NY Times:

http://www.nytimes.com/2005/05/31/bu...l?pagewanted=2

The last paragrah sounds kind of familiar where several economists say lowering the value of the euro might not be a bad thing as it will make European exports cheaper. Somehow we've heard that logic before someplace....

For me any little bit helps. I'm visiting this summer.

To me, anyway, a difference of 4-5% is not really anything to get excited over.

But, I could not be more grateful for your cell phone advice.

Of far more concern to me, anyway, are those pesky "currency conversion fees" with the credit cards. Now that they've been implemented, withdrawn, brought back, what's to keep them from rising to 10% or more?

And, the ridiculous ATM withdrawal fees assessed by many banks? One would figure same will discourage us from paying cash?

Just received our MasterCard bill with some of our recent charges in Germany and Austria. For our stay at Hotel Zauner in Hallstatt on 14 May, we were charged 100 Euro. This was billed as $125.60. I was quite happy. Not so long ago, this would have easily been $128 or so. Not much, but it adds up over a 2-week vacation.

I remember several months back, we were looking at $1.36 and freeeeaaaking out! It is almost back to what it was last summer, so I have lived with it before, and I can do so again. My optimistis DH predicts it will be in the "teens" before our trip in late June. THAT I would love to see! Perhaps the Netherlands vote tomorrow will help it along some!

I noticed last night that it was down to 1.24 and am hoping the downward trend continues, but know that it's anyone's guess. I am heading to Italy in the fall and keeping my fingers crossed that it at least stays the same.

Thanks for the info, xyz.

Hi xy,

I have been carefully studying the economic charts and astrological signs.

Taking the latest data from the Federal reserve, I can, with 95% confidence, assert that, if present trends continue, the Euro will be about $1.10 + or - 0.05 by Sept 1.

((I))

Ira, I always feel good after I read your predictions because I know you put so much thought and research into it. By the way, my crystal ball is in total accord with your prediction!

Hi wren,

>..my crystal ball is in total accord with your prediction!<

What model do you have?

I use Excel for my data analyses.

Ira, I bought my crystal ball for only 3 easy payments of 19.99 + shipping and handling. I have had a hard time getting it to be accurate though...ever since Y2K when it predicted the world would come to an end...

Waah--I don't have a crystal ball. All I have is my Magic 8 Ball circa 1975, which seems to be stuck on "Signs Point To Yes".

I confess to amusing myself by plugging one of our hotel rates in to xe.com daily. When we booked the hotel, its nightly rate of 111 euros translated to $146. Now it's down to $137.

I will not be upgrading to the Ritz because of a slight EuroDip, but maybe this will help compensate for the hotel that I prepaid in advance in March. . .

I have a Star Wars Yoda doll that answers questions when you squeeze his hand. I just consulted him on this, and he replied, "Ah ,difficult question you ask". Well, that about sums it up.

Don't build your hopes up.

We're going to see at least half a year of indecision in the Eurozone. Which means the lunatics running the ECB will be left in charge, keeping interest rates insanely high. And that, whatever market sentiment might indicate, means the Euro stays expensive, unless the US does something even stupider.

The good news though, for non-Brits at any rate, is that demand in the UK is slowing, and its currency is managed by people with brains. So expect UK interest rate cuts, followed by a fall in the pound - and people like me starting to whine about how expensive the US and Australia are getting.

flanneruk said,
"lunatics running the ECB will be left in charge, keeping interest rates insanely high."
A benchmark rate of 2% is not insanely high.

31/05/05 1834 GMT

€1 = $1.2301

As they say at a sporting even, let's go USD let's go!

The "Fighting Dollars", eh?

xyz :D

How much, if anything, does this have to do with the recent French rejection of the EU constitution?

I think it has a lot to do with it, Marilyn (New York Times cites it as a factor, too).

Now, the Dutch vote coming up later this week is more symbolic, as I understand it, but it will be interesting to see if it has the same effect.

I must confess that I am a bad person. When I read about the French vote, the first thing I thought of was that this might make for a better exchange rate for our September trip. :-]

You can join me in the corner, Marilyn.

Marilyn - I have to confess, I had the exact same thought myself.

I think it's amazing that with the high interest rates and high unemployment in Europe the people haven't rebelled! Maybe this whole thing (election) shows something's gotta give! Double digit unemployment is rather alarming!

1.00 EUR
= 1.23030 USD
Just now on xe.com. See figures in above posting . Euro rising in value already? (-: Anyway, there will be frequest fluctuations over next few weeks I expect..
Add me to the list of bad, selfish, egocentric tourists whose first thught was "Yipppeee!" When last in Europe,in 2002, I think the Euro to USD was 1:1.

Ditto on keeping fingers crossed for a September trip. I am trying not to pay attention but that seems impossible…. I find myself on xe.com by 2:00 daily!!

I use www.x-rates.com

xyz123 - I, too, enjoyed your info on cellular. This is meant to be helpful - Regarding your comment on editing posts : Some people use the "preview my reply" button to the left of the "post my reply" button to edit posts.
Meanwhile, we all know the importance of reading what a post means, not what is typed.

01/06/05 1013 GMT

€1 = $1.2262

GO GREENBACK GO!

I'm lovin' it. Finally, a break! GO GREEN!!

It is interesting, isn't it, that the so-called "fall of the Euro" apparently has little or nothing to anything that the U.S. is doing....but I susppose the real point of the post comes from xyz123"s own unforgettable words: "...there really is no sense in worrying about it..."

On June 1, 2004 the exchange rate was 1 euro= $1.221. As of right now, it is $1.223. No difference...

Better to call it a "correction"...

Actually do remember the original target rate for the euro was €1 = US$1.17 and then it plumeted as low as US$0.80 before its rise to whatever.

All kidding aside (and my original post was really meant in jest as were the subsequent ones) Ira is the one who's right; currencies go up and they go down in a cyclical nature. Whether this is the down cycle that American travellers have been longing for, only time will tell.

What will be interesting to see is the reaction of the Bush administration as they have tried to push the idea that it is no big deal anyway and the higher value of the euro would ultimately be good for the US balance of trade which hasn't improved one bit with the higher euro anyway.

Rate as of 2005.06.01 20:09:22 UTC (GMT). US$1.00 = Euro 1.218

:D

:) I hope it will continue dropping for at least until summer's over...sorry. Well, however long it lasts it's okay with me.

Must be due to the Dutch vote today? ;)

Does anyone know what the Canadian Dollar is at vs. the Euro?
Thanks!

iloveitaly, it's at a most astonishing 1.525. That's the lowest I recall seeing it ever (but I haven't watched continuously since 2002).

iloveitaly ~ there are a number of currency conversion websites - this is a good one as it lets you see conversions at any rate you choose:

http://www.oanda.com/convert/classic

It is showing the Interbank rate to be 1.52+ CAD to 1 Euro

Thank you!