The trade-weighted dollar represents the foreign currency price of the U.S. dollar or the export value of the U.S. dollar. When these index numbers increase, the value of the dollar increases, making it easier for Americans to afford imports, but making American exports more expensive to those in other countries.
Currency Markets
The price of one country's monetary units, its currency, in terms of another country's currency is called a foreign currency exchange rate. Here is an example: The exchange rate between the U.S. dollar (US$) and the German mark (deutschmark or DM) may be 1.5 marks per dollar or simply abbreviated DM 1.5000/US$. This is the same exchange rate as when it is stated US$1.00 = DM 1.50. Since most international business activities require at least one of the two parties to first purchase the other country's currency before purchasing any good, service or asset, a proper understanding of exchange rates and exchange rate markets is very important to the conduct of international business.
Exchange Rates
The New York foreign exchange mid-range rates below apply to trading among banks in amounts of $1 million and more, as quoted at 4 a.m. Eastern time by Telerate and other sources. Retail transactions provide fewer units of foreign currency per dollar. Rates for the 11 Euro currency countries are derived from the latest dollar euro rate using the exchange ratios set 1/1/99.
| Last updated 3/4/99 | ||||
| Country | ||||
| Argentina |
1.0002 |
1.0002 |
.9998 |
.9998 |
| Australia |
.6217 |
.6227 |
1.6086 |
1.6060 |
| Austria |
.07913 |
.07947 |
12638 |
12584 |
| Bahrain |
2.6525 |
2.6386 |
.3770 |
.3790 |
| Belgium |
.02699 |
.02711 |
37.050 |
36.891 |
| Brazil |
.4673 |
.4630 |
2.1400 |
2.1600 |
| Britain |
1.6138 |
1.6160 |
.6197 |
.6188 |
| 1-month |
1.6129 |
1.6152 |
.6200 |
.6191 |
| 3-months forward |
1.6121 |
1.6146 |
.6203 |
.6193 |
| 6-months forward |
1.6122 |
1.6151 |
.6203 |
.6192 |
| Canada |
.6551 |
.6570 |
1.5265 |
1.5220 |
| 1-month |
.6550 |
.6570 |
1.5267 |
1.5222 |
| 3-months forward |
.6550 |
.6569 |
1.5268 |
1.5223 |
| 6-months forward |
.6550 |
.6567 |
1.5268 |
1.5226 |
| Chile |
.002002 |
.001989 |
499.45 |
502.65 |
| China |
.1208 |
.1208 |
8.2789 |
8.2789 |
| Columbia |
.0006419 |
.0006409 |
1557.94 |
1560.40 |
| Czech. Rep. |
.02897 |
.02906 |
34.518 |
34.414 |
| Denmark |
.1464 |
.1471 |
6.8285 |
6.7995 |
| Ecuador |
.0001002 |
.0001002 |
9984.50 |
9984.50 |
| Finland |
.1831 |
.1839 |
5.4608 |
5.4373 |
| France |
.1660 |
.1660 |
6.0246 |
5.9987 |
| 1-month |
.1663 |
.1670 |
6.0148 |
5.9889 |
| 3-months forward |
.1668 |
.1675 |
5.9961 |
5.9702 |
| 6-months forward |
.1677 |
.1684 |
5.9641 |
5.9382 |
| Germany |
.5567 |
.5591 |
1.7963 |
1.7886 |
| 1-month |
.5576 |
.5600 |
1.7934 |
1.7856 |
| 3-months forward |
.5593 |
.5618 |
1.7878 |
1.7801 |
| 6-months forward |
.5623 |
.5648 |
1.7783 |
1.7705 |
| Greece |
.003385 |
.003396 |
295.38 |
294.51 |
| Hong Kong |
.1290 |
.1291 |
7.7495 |
7.7477 |
| Hungary |
.004288 |
.004330 |
233.22 |
230.96 |
| India |
.02352 |
.02352 |
42.515 |
42.515 |
| Indonesia |
.0001125 |
.0001127 |
8885.00 |
8870.00 |
| Ireland |
1.3826 |
1.3885 |
.7233 |
.7202 |
| Israel |
.2468 |
.2470 |
4.0522 |
4.0488 |
| Italy |
.0005623 |
.0005647 |
1778.35 |
1770.71 |
| Japan |
.008207 |
.008317 |
121.84 |
120.23 |
| 1-month forward |
.008241 |
.008352 |
121.34 |
119.73 |
| 3-months forward |
.009311 |
.008419 |
120.33 |
118.78 |
| 6-months forward |
.008417 |
.008532 |
118.81 |
117.21 |
| Jordan |
1.4055 |
1.4045 |
.7115 |
.7120 |
| Kuwait |
3.2819 |
3.2819 |
.3047 |
.3047 |
| Lebanon |
.0006616 |
.0006616 |
1511.50 |
1511.50 |
| Malaysia |
.2632 |
.2632 |
3.8000 |
3.8000 |
| Malta |
2.5387 |
2.5419 |
.3939 |
.3934 |
| Mexico |
.1005 |
.1005 |
9.9475 |
9.9490 |
| Netherlands |
.4941 |
.4969 |
2.0240 |
2.0153 |
| New Zealand |
.5278 |
.5291 |
1.8947 |
1.8900 |
| Norway |
.1260 |
.1264 |
7.9343 |
7.9108 |
| Pakistan |
.01957 |
.01952 |
51.110 |
51.235 |
| Peru |
.2946 |
.2948 |
3.3940 |
3.3925 |
| Philippines |
.02558 |
.02561 |
39.100 |
39.050 |
| Poland |
.2516 |
.2521 |
3.9745 |
3.9670 |
| Portugal |
.005431 |
.005454 |
184.13 |
183.34 |
| Russia |
.04361 |
.04369 |
22.930 |
22.890 |
| Saudi Arabia |
.2666 |
.2666 |
3.7510 |
3.7506 |
| Singapore |
.5754 |
.5771 |
1.7380 |
1.7328 |
| Slovak Rep. |
.02498 |
.02499 |
40.037 |
40.010 |
| South Africa |
.1603 |
.1602 |
6.2400 |
6.2430 |
| South Korea |
.0008135 |
.0008168 |
1229.30 |
1224.35 |
| Spain |
.006544 |
.006572 |
152.82 |
152.16 |
| Sweden |
.1211 |
.1213 |
8.2595 |
8.2440 |
| Switzerland |
.6849 |
.6866 |
1.4601 |
1.4565 |
| 1-month |
.6871 |
.6888 |
1.4555 |
1.4517 |
| 3-months forward |
.6913 |
.6929 |
1.4466 |
1.4431 |
| 6-months forward |
.6978 |
.6996 |
1.4331 |
1.4293 |
| Taiwan |
.03021 |
.03023 |
33.100 |
33.075 |
| Thailand |
.02654 |
.02664 |
37.685 |
37.535 |
| Turkey |
.00000280 |
.00000281 |
357340.00 |
356480.00 |
| United Arab |
.2723 |
.2700 |
3.6730 |
3.7040 |
| Uruguay |
.09246 |
.09095 |
11.055 |
10.995 |
| Venezuela |
.001736 |
.001736 |
576.00 |
576.00 |
| SDR |
1.3599 |
1.3592 |
.7353 |
.7357 |
| Euro |
1.0888 |
1.0935 |
.9184 |
.9145 |
| Special Drawing Rights (SDR) are based on exchange rates for the U.S., German, British, French, and Japanese currencies. Source: International Monetary Fund. | ||||