L.A. Times: Soaring dollar puts the world on sale for Americans
Americans have long complained that the dollar doesn't buy much anymore. Suddenly, the dollar's problem may be that it buys too much — a change that has huge implications across the global economy for consumers, businesses, investors and governments.
The U.S. currency's value has surged over the last nine months, reaching levels against some world currencies last seen more than a decade ago. In Europe, it now costs just $1.09 to buy one euro, down from $1.37 a year ago and almost $1.50 four years ago.
To put it another way, an American tourist strolling the streets of Paris this April can buy 25% more croissants, cafe au laits or mini Eiffel towers than a year ago with the same dollars.
The greenback's advance has been even more dramatic against some rivals. With its latest rally, one buck buys 30% more Swedish kronor than a year ago, 40% more Brazilian reais and 61% more Russian rubles.
WNU Editor: This bubble is not going to last .... but for the moment the U.S. dollar is king.
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