| View previous topic :: View next topic |
| Author |
Message |
eurasian76
Joined: 09 May 2006
|
 Posted: Sat Jan 13, 2007 1:07 pm Post subject: The U.S economy / transferring dollars to Korea |
 |
|
Hi guys, I know the US economy has gone downhill in comparison to many economies around the world ......but how is it/has been compared to the Korean Won recently?
I might need to wire some USD to Korea but maybe not if the USD sucks compared to the Won now (I don't know how it's been recently-just moved here) so this might affect how much I wire over here. My economics knowledge is very limited!
Thanks in advance |
|
| Back to top |
|
 |
ChuckECheese
Joined: 20 Jul 2006
|
| Posted: Sat Jan 13, 2007 3:16 pm Post subject: |
|
|
I don't know how much you're looking into wiring into Korea, but exchange rate for USD against Won has been very weak for about a year.
If you're looking into wiring only few thousand dollar, don't sweat it. But if you're considering wiring over hundred thousand dollar, you may want to think twice. But then again, it all depends on your needs and what you want to do with the money. |
|
| Back to top |
|
|
Ya-ta Boy
Joined: 16 Jan 2003
Location: Established in 1994
|
| Posted: Sat Jan 13, 2007 3:18 pm Post subject: |
|
|
The exchange rate is about 937 Won to the Dollar. This is the strongest Won/Weakest Dollar in about 10 years.
The expectation is that the Won will continue to strengthen and the Dollar to weaken over the next year. If you are going to be buying Won, now is probably the best time to do it as it will only cost you more if you wait longer. |
|
| Back to top |
|
|
Fresh Prince
Joined: 05 Dec 2006
Location: The glorious nation of Korea
|
| Posted: Sat Jan 13, 2007 6:23 pm Post subject: |
|
|
Yahoo Finance
Check out this link. I put in 2,000,000 Won since that is a typical salary. As you can see the Won has appreciated adverse the dollar (worth more than the dollar) in the long run however it is subject to wide up and down swings. The best time to convert Won to Dollars would have been around December in 2006 since it has been depreciating slowly since that time.
The best time to convert Dollars to Won would be when the Dollar is worth more than the Won however like the other posters have said, the Won is widely expected to out pace the Dollar for around another year.
Note: The chart is up to date as of December so look at the exchange rate for the current value. As you can see the Won is now at around 106 which is what it was like last November before it started to climb. |
|
| Back to top |
|
|
4 months left
Joined: 07 Feb 2003
|
| Posted: Sat Jan 13, 2007 6:44 pm Post subject: Re: The U.S economy / transferring dollars to Korea |
|
|
| eurasian76 wrote: |
| Hi guys, I know the US economy has gone downhill in comparison to many economies around the world ......but how is it/has been compared to the Korean Won recently? |
Downhill??? Have you seen how the Dow, S&P or NASDAQ have been doing lately? Did you see the December jobs report, the retail sales or double digit earnings growth for 18 consecutive quarters?? |
|
| Back to top |
|
|
Wangja
Joined: 17 May 2004
Location: Seoul, Yongsan
|
| Posted: Sat Jan 13, 2007 9:06 pm Post subject: |
|
|
| If you think the US economy is strong, may I borrow those rsoe-tinted spectacles of yours? |
|
| Back to top |
|
|
4 months left
Joined: 07 Feb 2003
|
| Posted: Sat Jan 13, 2007 9:43 pm Post subject: |
|
|
| Wangja wrote: |
| If you think the US economy is strong, may I borrow those rsoe-tinted spectacles of yours? |
I provided facts, you provided opinion so you must be right, I bow to your wisdom.  |
|
| Back to top |
|
|
Wangja
Joined: 17 May 2004
Location: Seoul, Yongsan
|
| Posted: Sat Jan 13, 2007 9:56 pm Post subject: |
|
|
| 4 months left wrote: |
| Wangja wrote: |
| If you think the US economy is strong, may I borrow those rsoe-tinted spectacles of yours? |
I provided facts, you provided opinion so you must be right, I bow to your wisdom. |
Nope, no facts, you simply made an observation leading one to believe you judge an economy by stock indeces alone.
Here are some facts on GDP growth, probably the most common indicator:-
Country .... GDP growth
USA ..... 3.0% and 2007 projection 2.2%
China .... 10.4% proj 9.4%
UK ... 2.7% proj 2.4%
Spain .... 3.8% proj 2.9%
Sweden ... 4.4% proj 3.2%.
(source Economist 6/1/2007)
Don't start me on the debt pillars in US. |
|
| Back to top |
|
|
4 months left
Joined: 07 Feb 2003
|
| Posted: Sat Jan 13, 2007 10:09 pm Post subject: |
|
|
Sure GDP is not growing as fast as other countries but taken in absolute dollars it is still miles ahead of other countries.
Last edited by 4 months left on Sat Jan 13, 2007 10:14 pm; edited 1 time in total |
|
| Back to top |
|
|
J.B. Clamence
Joined: 15 Jan 2003
|
| Posted: Sat Jan 13, 2007 10:10 pm Post subject: |
|
|
When I first came to Korea 4 years ago, it was about 1200 won for 1 USD. Now, it is 940. This is good because I am paid in won and will be able to buy dollars at a cheaper price later when I go home. This would NOT be a situation where it would be ideal to rely on imported dollars to be changed into won.
Here is a graph that shows the last 120 days:
As you can see, the main trend is that the dollar is weakening against the won, as it has been for years.
Here is a graph that shows the last 30 days:
As you can see, over the last month, the dollar has been gaining ground, but I think the general trend of weakining will continue in the long run of this year. |
|
| Back to top |
|
|
huffdaddy
Joined: 25 Nov 2005
|
| Posted: Sat Jan 13, 2007 11:02 pm Post subject: |
|
|
| Wangja wrote: |
Nope, no facts, you simply made an observation leading one to believe you judge an economy by stock indeces alone.
Here are some facts on GDP growth, probably the most common indicator:- |
http://www.economist.com/markets/indicators/displaystory.cfm?story_id=8495051
How do I get in on that Sudanese boom? Now there's a country worth investing in. |
|
| Back to top |
|
|
4 months left
Joined: 07 Feb 2003
|
| Posted: Sat Jan 13, 2007 11:09 pm Post subject: |
|
|
| Wangja wrote: |
Nope, no facts, you simply made an observation leading one to believe you judge an economy by stock indeces alone. |
Job growth, rising stock markets, a small decrease in the trade deficit (in my opinion is irrelevant), historically low interest rates and unemployment and a strengthening dollar. On the downside increased spending on Iraq and whether or not there will be a soft landing in housing. People have been talking about the twin deficits for years but the U.S. economy keeps chugging along. Right now it is in a "Goldilocks" state - not too hot and not too cold. The record 18 consecutive double digit earnings growth has to come to an end sooner or later. Oil prices coming down is like a tax cut for consumers. Most are expecting an interest rate cut from the Fed, I think the next likely move is up. Anyway time will tell.
Composite Index of Leading Indicators
An index published monthly by the Conference Board used to predict the direction of the economy's movements in the months to come. The index is made up of 10 economic components, whose changes tend to precede changes in the overall economy. These 10 components include:
7. the S&P 500 stock index
10. consumer sentiment
Nonfarm employment increased by 167,000 in December, and the unemployment rate was unchanged at 4.5 percent, the Bureau of Labor Statistics of the U.S. Department of Labor reported today.
The U.S. Census Bureau announced today that advance estimates of U.S. retail and food services sales for December, adjusted for seasonal variation and holiday and trading-day differences, but not for price changes, were $369.9 billion, an increase of 0.9 percent (�0.7%) from the previous month and up 5.4 percent (�0.7%) from December 2005. Total sales for the 12 months of 2006 were up 6.0 percent (�0.5%) from 2005. Total sales for the October through December 2006 period were up 4.9 percent (�0.5%) from the same period a year ago.
The University of Michigan's final consumer sentiment index rose to 91.5 points from 88.7 earlier in December, according to published reports Friday of the closely watched proprietary research.
It's the highest level since July's 96.5 reading. The index stood at 81.6 in November.
Standard & Poor's announced today that the S&P 500 is expected to show strong quarterly growth in third-quarter operating earnings, and extend its record number of consecutive quarters of double-digit year-over-year earnings gains to 18. |
|
| Back to top |
|
|
Sina qua non
Joined: 20 Jun 2006
|
| Posted: Sun Jan 14, 2007 2:15 am Post subject: |
|
|
| Wangja wrote: |
Country .... GDP growth
USA ..... 3.0% and 2007 projection 2.2%
China .... 10.4% proj 9.4%
UK ... 2.7% proj 2.4%
Spain .... 3.8% proj 2.9%
Sweden ... 4.4% proj 3.2%.
(source Economist 6/1/2007)
|
To illustrate these numbers, the economies all of the above countries are projected to grow in 2007. This is a sign of strength in all of these economies (regardless of the color of the lenses in the spectacles worn by any of these countries' respective citizens).
However, compared to 2006, the growth rates of all of these economies are projected to decrease, with the U.S., Spain, and Sweden expected to show a 20%-30% year-on-year decrease in the growth rate and China and the U.K. expected to miss their prior year rate by around 10%.
As mentioned before, in absolute dollar terms, the projected absolute growth in the U.S. economy would far exceed any of the others. And remember that smaller economies have fewer inherent impediments to high rates of sustained economic growth compared with larger economies. |
|
| Back to top |
|
|
Ya-ta Boy
Joined: 16 Jan 2003
Location: Established in 1994
|
| Posted: Sun Jan 14, 2007 4:20 am Post subject: |
|
|
| According to the graph huffdaddy posted, 4 of the 5 fastest growing economies in the world are African. That's stunning. Great news. |
|
| Back to top |
|
|
|
FAQ
Search
Memberlist
Usergroups
Register
Profile
Log in to check your private messages
Log in
