Showing just how volatile the markets are in the wake of the March 11 Tohoku earthquake and tsunami and the current problems with two nuclear plants, the dollar fell against the Japanese yen to a new record low.
From the Wall Street Journal:
The U.S. dollar plunged to 77.32 yen, plowing through the previous record of 79.75 set 16 years ago, and its highest value since World War II.
This does not bode well for Japanese corporations who export goods or for tourists who plan to travel to Japan, especially those who may sign up for tours whose prices are tied to the prevailing foreign exchange.
For example, a tour costing 248,500 yen would cost (at today's exchange rate):
248,500.00 JPY = 3,180.20 USD*
*Source: Universal Currency Converter
This amount does not include airfare, which would be an additional cost of $1,200-$1,500, or more.
It is currently uncertain whether or not the exchange rate will stablize any time soon, if at all.
Keep watching...
To read the full WSJ article, go here.
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