Has the Dollar plummeted or is it the Pound?

Question

cos i want to buy something from USA but im in England.

say it costs 15 dollars, will it be 7 pounds or 17 pounds (just guessing! but its an example)

thanks

Answer 1

In my humble opinion, El fagguito's answer is misleading with its implications about inflation.  Generally speaking, in economic theory inflation only really matters when it differs from its expected rate.

Anyway, for the original Dollar vs. Pound question, yes, the dollar definitely plummeted for much of the past 12+ months.  It weakened against all the major currencies (Euro, Yen, Swiss Franc, etc.), not just the Pound.

Answer 2

If you had bought your $122.80 thing a month ago it would have been around 60 pounds.  The pound peaked at about $2.05-ish.   Now it's more $1.85-ish so you're looking at 65-ish pounds.  All assuming that there are no extra hidden fees and you get an exchange rate close to the current standard.

The drop in the value of the pound relative to the dollar last few weeks has been significant, and there is some expectation that it will continue, so you might want to buy sooner rather than later to get the best deal.  Still this is a much better exchange rate (for you) than it was a couple of years ago.

Answer 3

The dollar is worth more against the pound today the a month or two ago, but far less than a year or two ago.

Answer 4

Both are plummeting. All fiat currencies go down all the time, when one gets "stronger" its because others get weaker a bit faster. Its a frog slow boil race to the bottom.

A dollar today would be worth 4 cents in 1900. Think about that next time someone talks about the last dollar rally or whatever.

Answer 5

the dollar has plummeted. you can shop so cheap in the US with the English pound! 15 dollars is about 8 pounds.