How to be up to date on rates of exchange
A constant awareness of the ups and downs of the main rates of exchange nowadays is necessary to be abreast of competitors in our highly competitive markets.
After all, together with recent price increases of main raw materials, a significant variance in a specific rate of exchange can cause another headache or be a pleasant news.
The following tables will deal with a) some Countries importing goods invoiced in Euro from Europe and b) the same Countries importing Chinese products invoiced in US$.
The situation is as at 28.06.2006 with reference to January 1st 2005 and January 1st 2006.
A figure marked minus will mean that there has been an advantage for the importer; if it is plus a disadvantage in terms of final payment.
|
Δ% |
||||
|
A |
B |
C |
C/A |
C/B |
CURRENCY |
01.01.2005 |
01.01.2006 |
28.06.2006 |
|
|
IMPORT FROM EURO COUNTRIES |
|
|
|||
€/US$ |
1,3621 |
1,1797 |
1,2570 |
- 7,7 |
+ 6,5 |
€/AUS$ |
1,7459 |
1,6109 |
1,7228 |
- 1,3 |
+ 6,9 |
€/POUND |
0,7050 |
0,6853 |
0,6904 |
- 2,1 |
+ 0,7 |
€/LIRA EGITTO |
8,4928 |
6,7744 |
7,2408 |
- 14,7 |
+ 6,8 |
€/RAND |
7,6897 |
7,4642 |
9,1097 |
+ 18,5 |
+ 22,0 |
IMPORT FROM CHINA ( IN US$ ) |
|
|
|||
US$/€ |
0,7342 |
0,8477 |
0,7955 |
+ 8,3 |
- 6,1 |
US$/AUS$ |
1,2818 |
1,3655 |
1,3706 |
+ 6,9 |
+ 0,4 |
US$/POUND |
0,5176 |
0,5809 |
0,5492 |
+ 6,1 |
- 5,4 |
US$/LIRA EGITTO |
6,2351 |
5,7425 |
5,7604 |
- 7,6 |
+ 0,3 |
US$/RAND |
5,6455 |
6,3272 |
7,2472 |
+ 28,4 |
+ 14,5 |
We have also to report the main feat by which since
July 2005 the rate of exchange US$/Yuan is no longer
a constant but has become a variable.
As at 29th June 2006 the rate US$/Yuan is equal to 7.9955
against 8.2765 in July 2005.
The effect has been an increase of 3.5% in all the purchases China makes, which are in US$.
It is worth to observe how the situation evolves because a further erosion of Yuan against the greenback will have an effect on Chinese costs of production.