What are people's view on the US dollar for next summer? Will we see a rebound or another big dip?
Nov 8th, 2004, 05:16 PM
#1
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What are people's view on the US dollar for next summer? Will we see a rebound or another big dip?
I'm spending my money anyway and I've been planning this trip for a long time now. I am a crusty old New England dame who has been frugal for as long as God knows when. I plan to go with a girlfriend who is a real miser and is all wigged out by the exchange rate. I figure even if the dollar is going to go further south, we'll only spend an extra 500. each.
Yeah, the exchange rate isnt good but I came to terms with it today and I'm not looking back. I wont spend more that $100. a day on food no matter what.
I can feel it in my arthritic bones that the dollar isnt going to going our favor. The reverse wont happen for at least 4 more years! Georgie doesnt believe in a strong dollar and he doesnt seem to care about the deficit either so in the meanwhile, maybe we might have to eat some baggettes and boudin on a park bench somewhere near Pigalle.
Merci les amis
Yeah, the exchange rate isnt good but I came to terms with it today and I'm not looking back. I wont spend more that $100. a day on food no matter what.
I can feel it in my arthritic bones that the dollar isnt going to going our favor. The reverse wont happen for at least 4 more years! Georgie doesnt believe in a strong dollar and he doesnt seem to care about the deficit either so in the meanwhile, maybe we might have to eat some baggettes and boudin on a park bench somewhere near Pigalle.
Merci les amis
Nov 8th, 2004, 05:31 PM
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If only I could make such predictions with accuracy, I would be so rich. 
I go to Europe about twice a year (3 times in a good year) and every time I go, I come home with the idea that it will be better next time I go. Then the next time it's worse. I have just about given up hope it will get better any time soon. While a weak dollar can be a good thing if you are an exporter, it sucks when you are a tourist. However, I love Europe and will contine to go, and the idea of baguettes and boudin on a park bench near Pigalle still sounds like more fun than a steak dinner at home. Europe on a budget is better than not going at all.
I go to Europe about twice a year (3 times in a good year) and every time I go, I come home with the idea that it will be better next time I go. Then the next time it's worse. I have just about given up hope it will get better any time soon. While a weak dollar can be a good thing if you are an exporter, it sucks when you are a tourist. However, I love Europe and will contine to go, and the idea of baguettes and boudin on a park bench near Pigalle still sounds like more fun than a steak dinner at home. Europe on a budget is better than not going at all.
Nov 8th, 2004, 05:33 PM
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Travelwoman, there are worse things in life than eating baguettes and boudin in the Pigalle. Although you don't want to do that; head up the hill to Sacre Coeur and right behind it you'll find a sweet little park with a vine-covered arbor, a waterfall fountain, and a serenity that will do your heart good. It will take your mind off what the dollar and euro are doing. 
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Nov 8th, 2004, 05:38 PM
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travelwoman eh-yuh, "use it up, wear it out, make it do, do without", the New England credo of my youth- I don't know, but I may be putting aside my Greece- Sicily or Croatia dilemma and journeying somewhere away from the euro. Mexico? or China- but now they are considering moving their currency away from it's dollar base. Arggh! Where are you thinking of going?
Nov 8th, 2004, 05:44 PM
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Well my travel companion isn't so hot on South America but she might be talked into Buenos Aires. She is an old school marm and has to go during the summer. Unfortunately, its winter in Argentina during our summer months. What I hear is that its very damp there then which isn't great for the old gambs.
Budman, aren't you a gentleman offering a lady a drink but I'll decline. Thank you just the same, love.
Budman, aren't you a gentleman offering a lady a drink but I'll decline. Thank you just the same, love.
Nov 8th, 2004, 05:53 PM
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jdraper, I think I was "right on." Read the last paragraph of her post. She is going to have to eat bagettes in Pigalle because of 4 more years of "Georgie."
The poor thing. I only hope they aren't 2-day old bagettes.
The poor thing. I only hope they aren't 2-day old bagettes.
Nov 8th, 2004, 05:53 PM
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Seriously -- and just for a moment -- let me toss in another factor that affects the dollar's value in foreign exchange markets.
It's fear. The dollar, like it or not, is still thought of as a "safe haven" currency. Anything that jars that image of safety lessens the dollar's perception as a worthwhile place to put one's wealth.
And you cannot control the fear factor. But you can anticipate the impact of fear by pre-paying as many dollar-denominated costs as you can. One way to offset a possible further decline is very simple: increase current savings and place those savings into a separate "foreign travel" kitty here at home. I have always wondered why more complainers don't take this pro-active action instead of moaning about how much that little hotel has gone up in price or why that meal at your favorite restaurant has zoomed in cost.
Money -- to use a seldom-employed word -- is fungible. A dollar saved now can be a dollar used to offset its decline later, in other words.
It's fear. The dollar, like it or not, is still thought of as a "safe haven" currency. Anything that jars that image of safety lessens the dollar's perception as a worthwhile place to put one's wealth.
And you cannot control the fear factor. But you can anticipate the impact of fear by pre-paying as many dollar-denominated costs as you can. One way to offset a possible further decline is very simple: increase current savings and place those savings into a separate "foreign travel" kitty here at home. I have always wondered why more complainers don't take this pro-active action instead of moaning about how much that little hotel has gone up in price or why that meal at your favorite restaurant has zoomed in cost.
Money -- to use a seldom-employed word -- is fungible. A dollar saved now can be a dollar used to offset its decline later, in other words.
Nov 8th, 2004, 06:15 PM
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USNR, you make a valid point, and "fungible" is well-chosen, theoretically. But since I have to live in and travel in these 12 months, it's not exactly like waiting for a mutual fund cycle, that I can give 5-10 years to even out. My trips are actually saved for monthly, paid for in full. Still, there are certainly things to be done with that money if I don't travel. And I have to choose to do less while I am away. In 2002, it was even exchange with a euro- remember how that was rather a shock to our precious American sensibilities? But at least you could use the dollar, no money-changing fees , or wasted time. I was even lamenting the loss of the big beautiful Italian lire notes. Now look at us We'd be delirious with "even" exchange.
With the current euro I had decided I can't take my November trip. So yesterday, I went into the city and picked up some Broadway tickets, I have a week planned of Sushi, Korean restaurants, the Met, MOMA, and Reckless before it closes, the legendary Les Paul, and there's a massage in there somewhere. Not too shabby. It will have to tide me over 'til next Spring/Summer. Meantime, I may have been practicing all the wrong languages for "my trip".
With the current euro I had decided I can't take my November trip. So yesterday, I went into the city and picked up some Broadway tickets, I have a week planned of Sushi, Korean restaurants, the Met, MOMA, and Reckless before it closes, the legendary Les Paul, and there's a massage in there somewhere. Not too shabby. It will have to tide me over 'til next Spring/Summer. Meantime, I may have been practicing all the wrong languages for "my trip".
Nov 8th, 2004, 06:18 PM
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I just got back last week from France, and was a little upset when I looked at my credit card statement on the web today - I had tried not to think about the euro difference! Well, it definitely makes a difference - but that's not going to keep me from going.
For what our stock market did last week, the euro can keep going up for all I care!! The coming tax cuts and better economy (yes, I'm optimistic!) make the lower dollar insignificant.
Cheer up, travelwoman, and try to look on the bright side. With much relief, I'm feeling great about the future of our country.
For what our stock market did last week, the euro can keep going up for all I care!! The coming tax cuts and better economy (yes, I'm optimistic!) make the lower dollar insignificant.
Cheer up, travelwoman, and try to look on the bright side. With much relief, I'm feeling great about the future of our country.
Nov 8th, 2004, 06:28 PM
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Yeah, there's about half the country (US in this case) that does and half that doesn't. We'll survive. We survived Nixon I don't worry about the dollar v. euro as much as my son going back to Iraq for a third tour of duty. And who knows if that wouldn't have happened anyway. We probably won't know until Christmas.
Nov 8th, 2004, 06:57 PM
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My broker is calling for a 25% devaluation of the US vs the Canadian dollar which would mean one US$ buys
1.18 Canadian dollar. Last year, one US$ bought $1.30 Canadian. A similar depreciation against the pound and Euro can be expected.
On the flip side, I have US investments which have dropped 9% in value over the last three months when converted back into Canadian dollars. Luckily the stock is up 14%.
1.18 Canadian dollar. Last year, one US$ bought $1.30 Canadian. A similar depreciation against the pound and Euro can be expected.
On the flip side, I have US investments which have dropped 9% in value over the last three months when converted back into Canadian dollars. Luckily the stock is up 14%.
Nov 8th, 2004, 07:04 PM
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busted - So sorry you have this worry on your mind. We have several family members and friends who have served or are serving in Iraq and I know it is a burden that makes the value of the $ seem inconsequential.
Budman - I said it was beneath you because you entered the political fray. I have ignored many posts during the last week when a sharp retort was my hearts desire. If we all stop replying to political comments then sooner or later those that start them will stop. When we reply it is beneath us. Get my drift?
Budman - I said it was beneath you because you entered the political fray. I have ignored many posts during the last week when a sharp retort was my hearts desire. If we all stop replying to political comments then sooner or later those that start them will stop. When we reply it is beneath us. Get my drift?
