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Imagine waking up and finding the value of your assets has been halved. No, you’re not an investor in one of those hedge funds that pletely. With the dollar slumping to a 26-year low against the pound, already-expensive London has e quite unaffordable. A coffee at Starbucks, just as unavoidable in England as it is in the United States, runs about $8.
The once all-powerful dollar isn’t doing a Titanic against just the pound. It is sitting at a record low against the euro and at a 30-year low against the Canadian dollar. Even the Argentine peso and Brazilian real are thriving against the dollar.
The weak dollar is a source of humiliation, for a nation’s self-esteem rests in part on the strength of its currency. It’s also a potential economic problem, since a declining dollar makes imported food more expensive and exerts upward pressure on interest rates. And yet there are substantial sectors of the vast . economy-from panies like Coca-Cola to mom-and-pop restaurant operators in Miami-for which the weak dollar is most excellent news.
Many Europeans may view the . as an arrogant superpower that has e hostile to foreigners. But nothing makes people think more warmly of the . than a weak dollar. Through April, the total number of visitors from abroad was up percent from last year. Should the trend continue, the number of tourists this year will finally top the
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