lionheart

No wonder you have had a self-satisfied smirk on your face over the past 18 months...payback time cometh

Autonomy

http://newsvote.bbc.co.uk/2/shared/f...elve_month.stm

That's quite a drop....

Face81

it's about time the UAE Dirham strengthened. Things here are getting way too expensive and the rapid decline of the $ (and the AED) over the past few years has not been a good thing.

Have a look at this historic currency data... The days of GBP/AED = 5.5 may not be too far off again.

Go AED!

Spugsy

ah, good for me but not you then pet.

Charismatic

But just to clarify here there is some concern that the UK's economy (and elsewhere) is stalling as well (high inflation and faltering growth).

The US dollars new found strength isnt really undermined by any actual change in the economic outlook.

Face81

The UK's 4% inflation isn't high when compared to the UAE's 13.2% in the 1st half of this year

Spugsy

so if I get paid in dirhams and send cash back to pay off my mortgage and credit cards, basically this is only a good thing for me?

Charismatic

Factory gate inflation jumped to the highest rate in the last 12 years though .

I dont like CPI figures.

Autonomy

10,000dhs converted to GBP at 7.3 rate = 1,369 GBP

10,000dhs converted to GBP at 6.00 rate = 1,666 GBP

So yes, this is good news for you in respect of more cash - however your house investment in the UK may be dropping like a stone... swings and roundabouts....

lionheart

I really don't think so. Once the oil price starts rising again, the rate will probably stabilise around 7.0 but may reach 6.75 before it does so.

Robbies

Can't ever see 5.5 happening

I think it will hover around the 6.8/6.9 mark for a while.

The only way I would see it drop below the 6.5 mark would be if the mythical 're-pegging' vs USD ever comes to anything (assuming I got my maths correct on what the impact would be?!??!)