Wednesday, November 23, 2011

Exchange Rate - November 2011

Saw this article on Yahoo today. It is in Spanish so if you have an automatic translator it will convert it over for you. Basically the exchange rate is continuing to move to new short term highs in favor of the U.S. Dollar. This is of great importance to expats living abroad, specifically here in Mexico.

How would you like to experience a 25% decrease in the cost of living over a six month period? Expats in Mexico have since May. The Peso/Dollar exchange rate has gone to $14.30 MXP to $1.00 USD today. Economists are expecting this trend to continue through Christmas with a move to 15/1 sometime before the end of the year.

FYI. Enjoy it while you can. I really think this has more to do with keeping Mexican manufacturing productive since 85% of all goods manufactured in MX are sent to the U.S.A. Those American imports are thus paid for in U.S. Dollars, keeping demand for dollars high, amongst other reasons.

Recuarda, "Hecho en Mexico."


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