Will $2/£ really happen?

[matty624]

Whilst off sick for the first time in 3 years (not that long I know, but good for a teacher!) I saw a program yesterday at lunchtime about money.
They had an analyst which was confident that $2 to the £ was really going to happen. Apparently the interest rate rise could have affected it, but it doesn't seem to have dented the upward movement. The US have a $500 million trade deficit, which is helped if the dollar is weak. So it all looks good for us. Amazing to think it was only two years ago I got $1.34!
Ian

 

[rob@rar.org.uk]

The exchange rate is certainly making my holiday this year less demanding on my bank manager than in previous years!

Over the weekend I did a quick comparision of ticket prices between Keith Prowse (in pounds) and Ticketmania (in dollars) using $1.80 as the exchange rate. Even using this rate Ticketmania worked out much cheaper. Hopefully the exchange rate will continue to improve in our favour for the next few months, making it even more worthwhile to buy tickets in the US rather than the UK.

Regards

Rob

 

[vernon]

I think there's a good chance, although long term I don't think it is sustainable.

Following on from Rob it's worth checking the prices betweem UK and US suppliers again. Most of the UK suppliers will have bought ( or committed too buy) a lot of their goods earlier this year at the lower exchange rates. They are unlikely to drop their prices much as they'll be taking a loss on them. IMHO there will be a lot of things that will now be better value with US providers.

 

[matty624]

To be honest, even at $1.50/£ there's no point considering buying anything but Fun in the Sun tickets from Paramount for us(or Ticketmania).
With the better rate, we've bought just one PAP which still only cost £276.24, which isn't much more than UK suppliers would like to sell a 10 day world ticket. Ummm, 1 year or 10 days, which makes more sense? It's certainly a no brainer if you are going for more than 2 weeks.
Ian

 

[rob@rar.org.uk]

You're absolutely right about the PAP tickets Ian. My girlfriend and I will be getting PAPs (hope to use them for 3 trips) and probably FITS and Orlando Flextickets for my parents. Really can't belive how good the exchange rate is at the moment...

Regards

Rob

 

[Peebee]

Spot market rate up to $1.88 after Greenspan's latest comments on the dollar's decline. I'm really starting to think $2.00 might happen, at least for a short time.

Paul

 

[uksaint]

Interbank rate now 1.89 - should translate to a travelex rate north of 1.82 tomorrow.

Oh happy days.

 

[SidB]

On "Wake Up To Money" on Radio Five this morning there was a guy suggesting that with the current momentum the $2 mark would be hit in about 2 weeks ! Looking good for my trip at the end of March.

 

[matty624]

Marks and Spencer is showing $1.836 today. If it reaches $2 I'm going to buy buy buy. You watch, it'll probably pummit and I'll end up buying at $1.50 or so...
Ian

 

[TinkTatoo]

This is in the Scotsman today


STERLING is on course to reach the symbolic $2 level by the summer as the greenback continues to slump - a rate not seen since Black Wednesday 12 years ago when Britain was expelled from Europe’s exchange rate mechanism.

Twelve out of 20 analysts polled by research group Ideaglobal are predicting that sterling will strengthen sufficiently to reach $2 over the next few months.

Most economists expect the crucial exchange rate to be hit in July, but some believe that it may happen as early as April or as late as next January.

Almost all economists polled believe that sterling-dollar will reach $1.90 in the next few days. It reached an 11-year high of more than $1.89 last Friday, before falling back a little.

Lande Abisogun, economist at Ideaglobal, said: "Sterling will probably reach $2 by August and could rise a little more. It depends what happens to the euro-dollar exchange rate."

Other strategists are this weekend revising their currency forecasts, with Peter Dixon of Commerzbank now forecasting sterling at $1.97 by mid-year.

So $2 is looking good

 

[wendydis]

We are not planning to go till 2005, was just wondering if it is worth if hit the golden mark $2 for £1 to get some travellers cheques and keep them for when we g, do they have any expiry date?

 

[Hilary]

Wendy, the TCs we've had do not expire.

We have kept TCs from one trip to the next and the design, etc. has never varied. Just keep a note of when and where they were purchased so that they can be traced if you should be unlucky enough to lose them.

 

[wendydis]

thanks for that if they hit the mark i will be off to the post office!!!!

 

[mickg7dyd]

Hi,
See the £ broke the $1.90 barrier today ($1.9050 at time of writing) Reckon I might pay for my Xmas cruise now as we had budgeted at $1.60 when we booked.

Mick.

 

[SidB]

I was in London on Friday and saw someone advertising $1.875 ! I didn't have time to check it out properly but I guess there was at least 2% commission on that. Still not a bad price.

Perhaps the boards should offer a reward to the person who finds the first genuine $2 rate.

 

[matty624]

$1.851 at M&S today (Wednesday 18th Feb). It's slowly moving up! I think I'll bottle out at $1.95...
Ian

 

[ear_poppin]

Perhaps the boards should offer a reward to the person who finds the first genuine $2 rate.

LOL...I'll offer a reward to that person!!!

 

[uksaint]

I've lost my bottle and taken 1.851 from Travelex. It was fun riding the wave for a while, but rates will be lower tomorrow - could just be a blip - but I'm thrilled to have got 1.85, it was only a year ago I was getting 1.57.

In any case, if I read Travelex's T's & C's correctly, I can cancel my order at anytime up to 24 hrs before collection and get a full sterling value refund. Therefore, if the rate does improve towards $2 to £1 I just cancel and rebook.

Anyway, I'm happy. Good Luck to those holding out for $2.

 

[richard3330]

I think I will be doing the same and bottling out soon. I see that travelex has dropped slightly now down to 1.836. Hopefully it will creep back up again - as soon as hits 1.90 I think I will buy!

Does anybody know where I can find out Visa, Mastercards or American Express' exchange rate for CC transactions? I can't seem to find it on their websites, do I need to call them?

Thanks!

Richard.