Good evening crefloors. Is it cold there? We had blue sky and sun after a rainstorm that flooded some city streets (which wouldn't happen if the city cleaned out drainstorms on schedule). Take care!

LoveItaly: we got some of your rain last night here in the valley. They are calling for a little snow in the mountains tonight and maybe get some rain again in the valley. So good to see some moisture. Boreal ski resort has been open for a couple of weeks and Mt. Rose opened yesterday. Alas, my skiing days are behind me...I'm old and I will break if I fall...was never that great in the first place. Not terribly cold...low 30's over night and 50's-low 60's during the day. Jacket weather but not fridgid. Have a good evening.

The exchange rate may go up, may go down, between now and Spring. You just never know. Though the rate is surely not favorable at the moment, the fluctuation between now and Spring is likely insignificant.

"This is basic economics. However, the Bush Aministration has a fundamentalist (Christian?) belief in its own cock 'n' bull economics. It is my view that this country is headed for a major economic disaster. International currency markets believe that too--which is why the dollar has continued to fall. International currency markets do not believe in cock 'n' bull economics."

This is utter nonsense. To suggest that the Bush administration controls, or even influences, world wide ecomics is just silly. There are just too many variables and absolutely no constants whatsoever.

Who,, oh who, specifically,is the "International currency market"???

No matter what the current "economics", there are always advantages and disadvantages to what you plan on doing.

If you want to purchase a home/car or refinance same, the rates could not be more favorable right now. Interest rates on credit cards are at an all time low right now.

For sure, the exchange rates are miserable and interest rate on simple savings are dismal.

But your home and your car are your major expenses.

If you wish to travel to Europe, the best bet is to book way ahead (for the lowest fares, and before even higher "fuel surcharges" kick in next year) with American dollars. You can also book your accomodations well in advance at today's rates with the current exchange rate.

The upside of dismal exchange rates is foreign purchases of American products.

Best bet is to visit your most appealing destinations in the USA when the airfares are low and the foreign exchange rates are unfavorable, and plan your foreign travels when airfares and the exchange ratea are more in your favor.

All in all, you know, world ecomomics has a way of adjusting itself.

Lets hope that it will improve! A girlfriend of mine travelled to Buenos Aires last month and now she can't stop talking about how European it is and how incredibly cheap things are. I guess the airfare is high but once you are there its really a bargain.

Someone was on the board a couple of weeks ago, yapping and complaining about the value of the dollar that he/she/it was considering moving to Argentina. I offered to help pack their bags. ((b))

If everyone that Budman, hansikday, et al thinks should leave the country, did leave the country, that would leave the country full of Budmen and hansikdays. Just a thought.

Just one minute!! I never said that anyone should leave the country. Get your facts straight.

BTW, what's wrong with more Budmen? ((a)) ((b))

All of you experts (including summa cum laude TexasAGGIE):


The original question concerned how and when to get the best exchange rate dollars/euros for March travel. One person was prudent enough to say use the ATM in Europe. You don't know what may happen to the fluctuating relative exchange rate, but you do know that ATMS have consistently provided a better rate on the day of exchange.
Whether it's better to wait 'till March to buy at ATMs Europe or buy euros stateside now, however, is anyone's guess. Those who say they know where the rate will be in 5 months are merely speculating, despite their claims to the contrary.

I also find it curious that some posters who admonish others for invoking politics in their remarks turn around just as fast to provide us with their economic theories. This forum is always more helpful when the posts stick as closely as possible to the intended travel information character.

The fact that Argentina is so cheap reflects the multitude of personal tragedies that occurred when the Argentinian peso was suddenly devalued a few years ago. Many middle-class families were thrown into poverty, and poverty-level families were thrown into absolute desperation.

zola said, "Those who say they know where the rate will be in 5 months are merely speculating..."

to which I would add, "as is anyone who buys euro now as a hedge against future erosion of the dollar." I've already done it, in fact, so I'll be spending $1.20 euro next summer.

Buying actual currency in anticipation of a change in the exchange rate is hardly a good investment strategy. You give up the use of your money now, and assume all the risk of a fall in the value of the euro, in return for a chance that the value of the euro will rise, yet you have no leverage so your gain would be very limited even if the euro did rise.

People who make money investing in currencies invariable use options, rather than actual currency purchases, and they monitor their positions around the clock because they know the exchange rate can go either direction.

Most tourists deal in relatively small sums, so I think trying to dabble in currency trading would be overkill, especially as even the experts accept that they will lose often.

I think if you travel frequently to Europe, and have a lot of money laying around, the best option would be to open a euro denominated account, so at least you could earn a little interest. I would not do that now, as the euro is up relative to the dollar, but when the rate falls, you could open such an account and transfer funds back and forth between a dollar and euro account whenever the rate was advantageous.

I do.

If some of you actually read financial newspapers, then maybe, just maybe you would understand what this $ drop is all about.

It's NOTHING to do with Euro or Pound. GWB is trying to force the Chineses to stop pegging their money with the US $. The Chinese money is worth NOTHING close to the USA $, but the Chinese have been pegging it with the dollar for a long time. US is trying to force the issue and make the Chinese put their money on the free currency market. This will devalue their currency and make it an "honest" currency. This will also cool down their economy to where it belongs.

At this moment they are able to push up the price of oil, steel and cement based on their "fake" currency worth.

This situation is NOT good for US tourists in foreign lands at the moment, but if the Chinese "problem" is allowed to continue it would be worse in few months, years. The Europeans are getting worried as well at the moment and they are pushing US and the Chinese to come to an agreement SOON.

GWB and his advisors are actually doing all of us a favor with the currency at the moment, although somebody will have to blink, and let's all hope it will be the Chinese, because if it's not, the world economy may go into a "very depressing" state.

Well, I for one would miss hansikday and Budman, but I guess they could always phone in from wherever they were (unless it was Molvania, maybe).

Pretty risky strategy. And with a president who reviews and adjusts policies, it could be catastrophic.

Robespierre, when I get my MBA from Harvard I will get back to you on all these economic issues.

Budsman, are you and Hansikday, how do I say very "close" friends. I sense a real symetry between you two.