Rising Euro Falling Dollar

Part of the problem is that exchange rates fluctuate in the short-term, after expensive airfare, tours, etc. have been booked.

I'm thrilled we went to Italy when it was $1.27 last month. But even if it were $2, we'd still go. Travel to Europe is costly no matter how you slice it. If you can afford to go, you should be able to afford it regardless of the exchange rate. Maybe that means cutting back on expensive dining, shopping, or staying in a budget hotel, but it certainly doesn't mean cancelling your trip!

The exchange rate will never stop me from traveling.
There are many ways to save, so you don't go broke after your trip.

Having gone to Europe every year since the Euro first came into acceptance, we have seen the price fluctuate from around 1 Euro = $0.80US to as high as 1 Euro = $1.60. We plan and save for our trip all year and would go no matter what the exchange rate. I would consider modifications if the rate went to 2US to 1 Euro however.
At our ages, we figure we want to go and see as long as we can as there are really no promises for being able to do that tomorrow. AS the rate makes things more expensive, we find other items here to cut out to increase our Europe budget. Happy travels

With a trip planned in late May-early June, I now feel like a dummy for not having been more proactive just a few weeks ago when the exchange rate was in the 1.20s. I am absolutely no expert when it comes to the exchange rates, which are affected by a number of factors. If the Europeans lower interest rates in January, the euro-dollar rate for us might become more favorable. But I am worried about talk of a 1 trillion dollar stimulus package by the new administration, which would cause the exchange rates for Americans to worsen even more.

I just booked late March/early April in Portugal and Spain. I'd like it lower, but it won't stop me.

Being a European I have a slightly different problem: I travel regularely from Europe to the States, but I am not sure where I should exchange my Euros - will I get better rates in Europe or in USA? Normally it is better to exchange foreign currencies in the country where you travel, but when I look at the exchange rates of my US bank, it seems to be different. Is there any general rule? Are there special exchange services in the US other than the big banks which provide better rates for the Euro?

We faced this problem in 2008 when the dollar climbed to $1.62. (when we started planning our trip it was at $1.35.) The four of us came to the conclusion that you can never know for sure what the dollar is going to do. Since we had the time and money in 2008, we would go. If it was a little bit more expensive than we had originally planned-so be it. As it turned out, by the time we went in September the dollar had improved. In the month we were there, it fluctuated between $1.35 and $1.45. Any regrets? Not a one. Okay, well maybe one. I wished I had gone the years it was at $1.25. My husband and I literally decided not to go in 2004,2005, and 2006 because "the dollar had tanked so bad". Who knew it would get worse? Learn from our mistake. If you've got the time and can save the money:GO There are many money saving tips on this web site that can make up the difference in a changing exchange rate. We were able to bring our 2008 trip in at the same daily rate we spent in 2003 when the dollar was worth $1.10 to the euro. It just took a little extra effort and few more picnics.

Not a problem for me -- 125 days and I'm off! Hoping that the dollar does improve, but if it doesn't it will just mean a lot of picnics and salami sandwiches!

I would never cancel a trip.. this past year I had to pay 1.63 for a euro, which hurt as I had booked and planned the trip at least 7 months before, when euro had been much lower. I just figure "Oh what the hell, its only so much more". Yes, I am not pleased, but I have to spend so much on a europeon holiday that in the end an extra 500 dollars does not make or break the trip for me.The airfare is paid in my own currency, so thats a big chunk of holiday budget. I just downgrade what I can. I do eat cheap ,, and sleep as cheap as I can within what I will be happy with.

The pound is tanking so now is a good time to visit the UK!

Ron in Phoenix:

Since the best place for a traveller from the US to get Euro is from an ATM in Europe I would assume the best place for you to get USD in the US is also from an ATM.

I planned on going last Sept but the $1.60 plus rate made me change my mind and I cancelled. Wish I had not and just gone as by the time it was time for the trip, the rate had fallen to $1.40.
Now I am planning on a fall 09 trip and the rates are doing the same thing. This time I will not change my mind and will just go.

My husband and I had planned a trip England and Wales lasts June. Because the euro was climbing we were told we should wait until this year after my husband retired. We didn't want to put off our trip because "what if"..We were both well so thought we'd go. Yikes!! The pound was 2.07 to the USD. It hurt our budget but we had a marvelous time and in all the years we've traveled overseas, we think this was one of our highlighted trips. Yes, you do have to scrimp on things but we wouldn't change a thing. Now we want to go back for longer than 3 weeks. Don't put off your travels if you don't have to. You don't know what the next day will bring. Go, enjoy and takes LOTS of pictures. Between us we took over 4,000 digital pictures. What wonderful memories and wonderful people in England and Wales.