The Aussie Dollar, What to do ?

[HappyFingers]

so we are at 107.3 today and its been as high as 110.0

Today Koche on sunrise said that Moody's has put USA on notice that it is considering revoking their AAA credit rating due to the concern over the debt ceiling etc.

so how do you all think this will effect the Aussie dollar in the coming weeks/Months ?

im sitting on a resonable pile of Aussie Dollars that im not sure if i should convert to USA just now

http://www.abc.net.au/news/2011-04-19/us-faces-credit-downgrade-if-debt-not-cut/2610080

is it just me or does everyone else think USA should immediately withdraw from the numerous warzones that they are currently active in to greatly assist their ability to reign in their debt ?

i mean it dont bother me, the high dollar is great for the Aussies Traveling to USA but if Obama wants to fix the problem he needs to bring them home asap, give the Afganistan Government a bunch of munitions to defend their government with and then get out, its not rocket science

 

[HappyFingers]

echo canyon

 

[kylieh]

I would buy it now. Then you don't worry about when to buy it.

Serious. Since I purchased I haven't really thought about it that much and it's one less thing. You get to the point where you say ok, time to take the plunge.

 

[PrincessInOz]

Lock some in now. The thing about predicting exchange rates and stock markets is that if it was easy, we'd all be millionaires.

Anything can happen - Euro could be more stressed; and then the USD might be the place that people retreat to as the traditional safe haven. Another natural disaster....US might default on their payments; and then AUD might rise.

At $1.07, we should all be happy. If it goes up, buy more. If it goes down, you'll be happy.

 

[battymum]

I think it would be greedy to gamble on a higher rate -

We have to be happy that its over the $1 -

If you have the cash laying around - BUY BUY BUY!!

(although I have been reading about the US debt ceiling issue, scary stuff)

 

[marvel]

i understand your predicament. It is human nature that even when something is good you wonder if it will get better. I changed money when the dollar was just around $1US, and you always think about whether you can get a bit extra. But the dollar can drop very quickly, last may it lost nearly 10c across a week and then rebounded a month or so later.

Many on the boards will recall travelling when the dollar was 70c and even 49c, so these current rates are unbelievable and even if you managed to get another few cents in the scheme of the trip its not a significant amount.

 

[BecBennett]

Generally being at war creates wealth. I wouldn't imagine the current ones would be any different...

Buy it now, you're already getting more US for your AU, just be happy with that.

 

[Ms. Shuttergirl]

I genuinely think that with only a month until your trip, at this point you are perhaps overthinking it and for the sake of a potential extra .01, it's not worth the risk of it going the other way.

I would definitely do it now.

 

[HappyFingers]

i think i just may do that

i was just thinking that such a credit rating announcement could put the price up to 115 to 120 and then i would be cranky

but now their are projections from westpac saying our interest rate will go down and that would make our dollar go down as well

so stuff it im just going to go down and do it on monday

cheers

 

[hellosue]

Yep! I'm with you Happy Fingers, just bpay'd money today ..... thanks for the research..

 

[Aust]

I was driving myself bonkers last year trying to work out when to change money - the dollar went up to 90-something so I changed a bit, then it went down quickly so I panicked and changed the rest (and of course it went back up again)! In the end I decided not to stress about it and to remember the first time I went to the US and the exchange rate was 50 cents.

 

[mareeld86]

I would Buy it now. Working in Finance i see it bounce up and down all day everyday. I am a little confused about your AAA rating comment though because AAA is an individual banks rating not a whole country. Before the GFC there was over 300 AAA rated banks now there is 4 and the only one in Australia is the Commonwealth Bank. So im guessing they were talking about the specific bank in the usa and them losing there AAA Rating.
Hope this makes you feel a little better.

 

[HappyFingers]

http://www.abc.net.au/news/2011-04-19/us-faces-credit-downgrade-if-debt-not-cut/2610080

The United States has been put on notice that it faces losing its AAA credit rating unless it gets on top of its yawning debt and deficit.

For the first time in history, the credit agency Standard and Poor's has downgraded America's credit outlook from stable to negative, cranking up pressure on a Congress already embroiled in a heated argument over how to rein in spending.

Stocks plunged sharply on Wall Street in the wake of the announcement from Standard and Poor's.

"We've said today that the risk is that the rating would fall exactly one step to AA+," said David Beers, the global head of Sovereign Relations at the ratings agency.

"So this is from our perspective a, saying that there is a risk of a mild deterioration in the US's credit standing."

 

[battymum]

I think they were talking about the Moodys rating on US govt treasury bonds.

Like many have said a couple of cents on your spending money is little compared to the whole cost of your holiday.

I have budgeted for our 4weeks of annual leave and loading to be our spending money - so hopefully the $ stays high until I get my pay.

 

[hellosue]

I have budgeted for our 4weeks of annual leave and loading to be our spending money - so hopefully the $ stays high until I get my pay.

I wish I had Annual Leave and Loading to rely on for spending money - down falls of being Self Employed

Oh and only 47 days to go

 

[Snickals]

How good is he Aussie Dollar at the moment!?! Reached an all new high Thursday Hope it continues to stay up...hapy days for those of you travelling soon!

 

[australiankaren]

hey
loving loving loving the aussie dollar....$1.09 today

oh the things we can buy

 

[battymum]

Yes the $ is great - hope it stays this way for another 7weeks at least.

But I am a little concerned about the US debt crisis - I hope we dont get there and it is like a third world country with beggars everywhere

 

[australiankaren]

Yes the $ is great - hope it stays this way for another 7weeks at least.

But I am a little concerned about the US debt crisis - I hope we dont get there and it is like a third world country with beggars everywhere

I think our main concerns are that the FAA that look after air traffic control etc have not had their budget extended so have sent 4000 + of their employees on unpaid holidays......it hasnt affected the air traffic controllers as yet but hey in this climate anything is possible.....
so dont forget to get travel insurance incase you are stuck somewhere....

 

[HappyFingers]

we have all the currency we budgeted for so dodnt need to exchange anymore

we are now dumping Australian currency into one of our accounts to keep in Aus and cover any credit card purchases.

so we have 15k us to spend, we aint bring none back as the exchange rate will mean we lose money so spend, spend, spend