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| Joined: | Sun Apr 15th, 2007 |
| Location: | Perth, Australia |
| Posts: | 1268 |
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The USD has taken a tumble because of many things - the main one we hear about over here is the refinancing schemes for doubtful loans, and dodgy lending practices that have sent some of the big banks to the wall. Financial markets hate instability, and they desert the sector like drowning rats. Anythin that could weaken the USD sure has lately. The flow-on effect is that people like me, who use Aussie dollars to buy overseas (cos there's not much of a collector market here - it exists, but it is nowhere near as developed as it is in other countries), have a slightly better time of it. As we speak, the AUD is worth (roughly) 94 cents US. Crazy when you realise that it was worth 64 cents US not so long ago. I am kicking myself that I spent comparatively more than I had to spend on some of my purchases over the last coupla years
. Then again, if it is a grail watch, what else can we WIS's do but continue to save and plan to buy at the best opportunity?I have no inside info, but IMHO the USD has taken a battering, so there is reason to think that it will eventually return to strength. But who knows how much it will recover? Makes me shudder... but remember that if the US market is the bulk of any maker's exports, surely they would not lift prices to the stage that their valuable US sales dwindled cos they put their prices up too far? US demand is too important to these manufacturers to pass on every little rate hike, IMHO.
Cheers - IanM
