{"id":243622,"date":"2025-02-21T08:18:10","date_gmt":"2025-02-21T08:18:10","guid":{"rendered":"https:\/\/news.talkwithrattan.com\/index.php\/2025\/02\/21\/a-strong-dollar-means-bargains-for-americans-traveling-abroad\/"},"modified":"2025-02-21T08:18:10","modified_gmt":"2025-02-21T08:18:10","slug":"a-strong-dollar-means-bargains-for-americans-traveling-abroad","status":"publish","type":"post","link":"https:\/\/news.talkwithrattan.com\/index.php\/2025\/02\/21\/a-strong-dollar-means-bargains-for-americans-traveling-abroad\/","title":{"rendered":"A Strong Dollar Means Bargains for Americans Traveling Abroad"},"content":{"rendered":"<div style=\"text-align:center\"><img decoding=\"async\" src=\"https:\/\/i0.wp.com\/static01.nyt.com\/images\/2025\/02\/13\/travel\/00frugal-dollar-illo\/00frugal-dollar-illo-facebookJumbo.jpg?ssl=1\" class=\"attachment-post-thumbnail size-post-thumbnail wp-post-image\" alt=\"A Strong Dollar Means Bargains for Americans Traveling Abroad\" title=\"A Strong Dollar Means Bargains for Americans Traveling Abroad\" \/><\/div><p> <br \/>\n<\/p>\n<div data-testid=\"companionColumn-0\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Last August, a hotel room in Europe priced at 200 euros was about $224. Today, travelers spending American dollars would pay only $208.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">On the rise since last autumn, the dollar is strong compared with a number of foreign currencies, including the euro, the Japanese yen and the Canadian dollar. And President Trump\u2019s tariff threat is only making it stronger.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">For travelers, the exchange rate bonus makes trips abroad extra appealing.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cWe\u2019ve seen an increase in international bookings as travelers look to maximize the value of their dollar abroad,\u201d said Michael Johnson, the president of <a class=\"css-yywogo\" href=\"http:\/\/www.ensembletravel.com\/\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">Ensemble<\/a>, a travel agency consortium. \u201cThe strength of the U.S. dollar has made destinations in Europe, Asia and South America more attractive, as travelers can get more for their money.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">In these dynamic and unpredictable times, whether the dollar will remain strong is anyone\u2019s guess. To understand the fluctuations of the foreign exchange market and how and where to take advantage of it, we asked travel and financial experts to weigh in.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-1\">\n<div class=\"css-53u6y8\">\n<h2 class=\"css-1u37br4 eoo0vm40\" id=\"link-7ae40f85\">Strong present, uncertain future<\/h2>\n<p class=\"css-at9mc1 evys1bk0\">A number of factors influence the value of the dollar. Among them, said Michael Melvin, the executive director of the <a class=\"css-yywogo\" href=\"https:\/\/rady.ucsd.edu\/programs\/master-quantitative-finance\/index.html\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">master of quantitative finance program<\/a> at the University of California San Diego, are economic growth and geopolitical risk.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">In recent years, \u201cThe U.S. has had exceptional economic growth relative to other countries,\u201d Mr. Melvin said, noting the higher interest rates imposed by the Federal Reserve to combat inflation only made the dollar more attractive to investors.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">International conflicts such as those in Ukraine and the Middle East also lead to investments in U.S. Treasury bonds. \u201cThe U.S. dollar has a safe-haven role to play in uncertain times,\u201d Mr. Melvin said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Talk of tariffs has created more volatility. When 25 percent tariffs were recently threatened against Canada and Mexico, their currencies initially plunged against the dollar. They have since recovered after postponements were announced, but still offer good value.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Alex Cohen, a senior foreign exchange strategist for Bank of America, expects the dollar to remain strong for the first half of the year as the new administration\u2019s policies take effect.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-2\">\n<div class=\"css-53u6y8\">\n<h2 class=\"css-1u37br4 eoo0vm40\" id=\"link-7a9a4b4d\">The outlook for travelers<\/h2>\n<p class=\"css-at9mc1 evys1bk0\">The exchange rate benefit largely affects foreign travel purchases like food, gifts and hotel bills, rather than airfare, particularly for those flying on American carriers, where pricing is in dollars.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Travelers are noticing the potential for savings. Since November, bookings have been up 65 percent compared with the same period last year at <a class=\"css-yywogo\" href=\"https:\/\/www.instagram.com\/luxevoyagetravel\/\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">Luxe Voyage Travel<\/a>, based in Clermont, Fla., according to its owner, Cristina Cunha, a member of the <a class=\"css-yywogo\" href=\"https:\/\/join.envoyage.com\/us\/home\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">Envoyage<\/a> global network of advisers.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cClients are feeling more confident about traveling abroad, thanks to the strengthening U.S. dollar and post-election stability,\u201d Ms. Cunha said.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">For those who have already booked foreign trips, the dollar bonus is an invitation to indulge, said Peter Vlitas, executive vice president of partner relations for <a class=\"css-yywogo\" href=\"https:\/\/internova.com\/\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">Internova Travel Group<\/a>, a travel services company with more than 100,000 travel advisers.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cHistorically, when the dollar is strong, we have seen travelers who are already committed to their trips try to \u2018buy up\u2019 and get better value for their dollar,\u201d Mr. Vlitas wrote in an email.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-3\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Adrian Mooney, the director of sales at the hotel and golf club <a class=\"css-yywogo\" href=\"https:\/\/www.kilkeacastle.ie\/\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">Kilkea Castle<\/a> in County Kildare, Ireland, said that for American guests, the exchange benefit is going to extras like spa services and horseback riding.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cThe strong dollar is giving guests more spending power on the ground,\u201d Mr. Mooney said.<\/p>\n<h2 class=\"css-1u37br4 eoo0vm40\" id=\"link-d19b624\">How to take advantage of the exchange rate<\/h2>\n<p class=\"css-at9mc1 evys1bk0\">Before leaving home, make sure your credit card does not charge a fee for transactions in foreign currencies, advised Kathy McCabe, the host of two public television shows \u201c<a class=\"css-yywogo\" href=\"https:\/\/dreamofeurope.com\/\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">Dream of Europe<\/a>\u201d and \u201c<a class=\"css-yywogo\" href=\"https:\/\/dreamofitaly.com\/\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">Dream of Italy<\/a>.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">When using the card, pay in the local currency when vendors ask if you want to purchase the transaction in dollars or in foreign currency.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cAlways choose the local currency,\u201d Ms. McCabe said. \u201cThis will avoid dynamic currency conversion, which is a service that converts the purchase to your home currency at a marked-up exchange rate.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">She pointed to a <a class=\"css-yywogo\" href=\"https:\/\/www.beuc.eu\/sites\/default\/files\/publications\/beuc-x-2017-131_currency_conversion_scam_factsheet.pdf\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">warning by the European Consumer Organization<\/a> that called the practice a \u201cscam,\u201d noting that studies had found the practice raised prices between 2.6 and 12 percent for those who opted for the converted currency.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-4\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">When you need foreign cash, withdraw it from a bank-owned A.T.M., said Laura Lindsay, the global travel trends expert with <a class=\"css-yywogo\" href=\"https:\/\/www.skyscanner.com\/\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">Skyscanner<\/a>, a flight comparison site, because bank A.T.M.s offer a better exchange rate and lower fees than private ones.<\/p>\n<h2 class=\"css-1u37br4 eoo0vm40\" id=\"link-3599f2f2\">Where to stretch your budget<\/h2>\n<p class=\"css-at9mc1 evys1bk0\">Among countries where the U.S. dollar goes further, Japan is a particularly good value as the yen \u2014 currently going for 152 yen to the dollar \u2014 has been declining against the dollar for the past four years, according to Mr. Melvin of U.C.S.D.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">\u201cJapan has been on sale for U.S. visitors,\u201d he said. \u201cIt costs a third less to go to Japan than just a few years ago.\u201d<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Expedia found Osaka to be among the cheapest hotel destinations for April travel, averaging about 26,878 yen a night, or $175.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The dollar doesn\u2019t buy quite as many euros as it did in the fall of 2022 when it was slightly ahead of the European currency, but it\u2019s not far-off today, at 0.96 euros to the dollar.<\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<div data-testid=\"companionColumn-5\">\n<div class=\"css-53u6y8\">\n<p class=\"css-at9mc1 evys1bk0\">Last year at this time, a dollar bought about 17 Mexican pesos. Today, it buys more than 20. Hotels in popular beach destinations often get around the exchange rate slide by stating their rates in dollars. But that\u2019s less common at small hotels such as <a class=\"css-yywogo\" href=\"https:\/\/mesones-sacristia.com\/\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">Mesones Sacrist\u00eda<\/a>, in Puebla, which offers antique-furnished rooms from 2,300 pesos ($113).<\/p>\n<p class=\"css-at9mc1 evys1bk0\">The dollar has also been gaining on the Canadian dollar in the past year, going from 1.35 Canadian to 1.42 for $1. And it\u2019s not just the exchange rate that benefits Americans heading north. Kayak found that airfare is down 18 percent compared with 2023 based on recent searches for travel through April.<\/p>\n<p class=\"css-at9mc1 evys1bk0\">Keep an eye out for sales. For example, through March 3, the houseboat rental company Le Boat is offering a <a class=\"css-yywogo\" href=\"https:\/\/www.leboat.com\/deals?_gl=1*bwoydb*_up*MQ..*_gs*MQ..&amp;gclid=CjwKCAiAqrG9BhAVEiwAaPu5zr8ss65IKkbWj3wgkSfLhZMR0w8j9NZPIujfCfOLl90Dv5kgC0yiDhoCsF8QAvD_BwE\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">deal<\/a> that saves travelers the normal 13 percent tax on weeklong <a class=\"css-yywogo\" href=\"https:\/\/www.leboat.com\/boating-vacations\/canada\/trent-severn\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\">rentals<\/a> on the <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/shared\/v2\/interactive\/2025\/travel\/places-to-travel-destinations-2025\/trent-severn-waterway.html\" title=\"\">Trent-Severn Waterway<\/a> in Ontario, a <a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/interactive\/2025\/travel\/places-to-travel-destinations-2025.html\" title=\"\">52 Places to Go<\/a> pick this year. Seven-night trips start at 3,359 dollars ($2,359).<\/p>\n<hr class=\"css-7ad88g e1mu4ftr0\"\/>\n<p class=\"css-at9mc1 evys1bk0\"><strong class=\"css-8qgvsz ebyp5n10\"><em class=\"css-2fg4z9 e1gzwzxm0\">Follow New York Times Travel <\/em><\/strong><em class=\"css-2fg4z9 e1gzwzxm0\">on <\/em><a class=\"css-yywogo\" href=\"https:\/\/www.instagram.com\/nytimestravel\/\" title=\"\" rel=\"noopener noreferrer\" target=\"_blank\"><em class=\"css-2fg4z9 e1gzwzxm0\">Instagram<\/em><\/a><em class=\"css-2fg4z9 e1gzwzxm0\"> and <\/em><a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/newsletters\/traveldispatch\" title=\"\"><em class=\"css-2fg4z9 e1gzwzxm0\">sign up for our Travel Dispatch newsletter<\/em><\/a><em class=\"css-2fg4z9 e1gzwzxm0\"> to get expert tips on traveling smarter and inspiration for your next vacation. Dreaming up a future getaway or just armchair traveling? Check out our <\/em><a class=\"css-yywogo\" href=\"https:\/\/www.nytimes.com\/interactive\/2025\/travel\/places-to-travel-destinations-2025.html\" title=\"\"><em class=\"css-2fg4z9 e1gzwzxm0\">52 Places to Go in 2025<\/em><\/a><em class=\"css-2fg4z9 e1gzwzxm0\">.<\/em><\/p>\n<\/div>\n<aside class=\"css-ew4tgv\" aria-label=\"companion column\"\/><\/div>\n<p><script async src=\"\/\/www.instagram.com\/embed.js\"><\/script><br \/>\n<br \/><br \/>\n<br \/><a href=\"https:\/\/www.nytimes.com\/2025\/02\/20\/travel\/strong-dollar-americans-abroad.html\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Last August, a hotel room in Europe priced at 200 euros was about $224. Today, travelers spending American dollars would pay only $208. On the rise since last autumn, the dollar is strong compared with a number of foreign currencies, including the euro, the Japanese yen and the Canadian dollar. And President Trump\u2019s tariff threat [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":243623,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"tdm_status":"","tdm_grid_status":"","fifu_image_url":"https:\/\/static01.nyt.com\/images\/2025\/02\/13\/travel\/00frugal-dollar-illo\/00frugal-dollar-illo-facebookJumbo.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[3392,189337,189335,21476,5676,19138,6513,170109,62398,189336],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/243622"}],"collection":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/comments?post=243622"}],"version-history":[{"count":1,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/243622\/revisions"}],"predecessor-version":[{"id":243624,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/243622\/revisions\/243624"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/media\/243623"}],"wp:attachment":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/media?parent=243622"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/categories?post=243622"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/tags?post=243622"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}