The US Dollar is the most popular currency in the world. More countries use it as their official currency than any other. Many countries have their own form of currency but tie it to the American dollar for stability reasons even though the US dollar is no longer based on a gold standard. As such, the value of the dollar will fluxuate over time much more so than if it were anchored to gold, a precious metal with a finite supply.
Currently, the US Federal Reserve controls the value of the dollar. They can increase the money supply by printing dollars or tighten it by removing them in an attempt to manipulate inflation and deflation. Other countries do the same sort of thing and each contributes to swings in dollar exchange rates.
An inflationary environment has been the norm for past half century which has led to a significant decline in the value of the dollar. In both decades of the 1970′s and 1980′s the dollar lost half of its buying power. The 1990′s was a very stable time for the dollar however.
Here are some current approximate US dollar (USD) exchange rates with other common currencies which can be helpful when planning your travels:
- 1 USD = .75 EUR (Euro)
- 1 USD = .65 GBP (British Pounds)
- 1 USD = 1 AUD (Australian Dollar)
- 1USD = 1 CAD (Canadian Dollar)
- 1 USD = 80 JPY (Japanese Yen)
- 1 USD = 6 CNY (Chinese Yuan)
- 1 USD = .95 CHF (Swiss Franc)
- 1USD = 11 Mexican Pesos
- 1USD = 12 South African Rand
- 1 USD = 1.25 Singapore Dollars