The fall of the United States dollar this summer is not only affecting the country's economy - it is reducing the amount American tourists get for the currency overseas.
The fall of the United States dollar this summer is not only affecting the country's economy - it is reducing the amount American tourists get for the currency overseas. Gone are the days of cheap tourist shopping for the Americans and according to economic experts, things will get worse before they get better.
SYNOPSIS: The Bank of Japan has pumped about a million and a half dollars into the Tokyo Exchange Markets this week to try and hold the yen down. But the dollar hit another postwar low on Thursday morning (27 July).
Americans looking for a bargain in Tokyo might just as well stay home these days. For popular items like this pocket calculator, they could do better in Los Angeles or Boston. The going rate for a popular model 35 millimetre camera with lens, is now about 900 dollars.
There are some predictions about the dollar eventually dropping to 180 yen on the money market, which means that the tourists will get about 175 to his travellers cheque dollar. And the experts say it's unlikely that the dollar will regain any of the 46 percent exchange value it's lost since the late forties, as long as inflation and oil imports remain high in the United States.
In London, the American tourists are feeling the pinch too. It costs over a dollar ninety to buy a pound note these days. The latest figures announced in Washington are pushing the dollar back against the pound sterling and other major European currencies. But the American tourists's dollar still doesn't go nearly as far this summer as it did a few years ago.
The English summer months still see a big influx from across the Atlantic. And overall, the Chief Executive of one of the biggest Oxford Street Stores says he hadn't noticed a change in sales volume yet, despite the dollar's decline.