3 ms·

I invoice in USD and have expenses in a different currency, and while I've seen a few (~5) percent decline in the exchange rate since then, it's been nowhere ne

I invoice in USD and have expenses in a different currency, and while I've seen a few (~5) percent decline in the exchange rate since then, it's been nowhere near 18%.

refulgentis 3y ago
It's really funny math, based solely on the idea I borrow enough with floating interest rates, pegged to treasuries. <sarcasm>but it confirms I am suffering, therefore it is correct</sarcasm>
jeffbee 3y ago
Have you tried just ignoring your calculator and going all-in on vibes?
arduanika 3y ago
The pandemic was worldwide, and every other central bank has been printing, too. Depending on which currency you're trading against, that could be a factor. For a while in 2021-2, non-dollar currencies were inflating even faster, so DXY actually went up even as the dollar weakened against goods and services. Even if the tables have turned and the dollar is weakening faster now, it's not like everybody else has actually reigned in their own printing.
- cruffle_duffle 3y ago
  The pandemic didn’t cause this inflation. The governments response to it did. Governments love when people blame an infectious respiratory virus for their idiotic response.
  - throw0101c 3y ago
    > The pandemic didn’t cause this inflation. Have you tried buying a car, new or used, recently? Supply chain issues caused by the pandemic certainly caused (parts of) inflation. Then there's geopolitics (energy/oil, food/wheat), also not helping with inflation. Supply-driven inflation looks to be the cause of at least half the run-up: * https://www.frbsf.org/research-and-insights/publications/economic-letter/2022/06/how-much-do-supply-and-demand-drive-inflation/ https://www.frbsf.org/research-and-insights/publications/eco... * https://www.frbsf.org/research-and-insights/data-and-indicators/supply-and-demand-driven-pce-inflation/ https://www.frbsf.org/research-and-insights/data-and-indicat... * https://en.wikipedia.org/wiki/Cost-push_inflation https://en.wikipedia.org/wiki/Cost-push_inflation
tonymet 3y ago
The other currency is also suffering from inflation
queuebert 3y ago
That will happen if the other currency is also inflating at the same time.
gizmo686 3y ago
Most currencies are experiencing inflation (for mostly the same reasons); so it tends to cancel out in the exchange rates.
fxd123 3y ago
And? That's not what inflation is
PKop 3y ago
Exchange rate is not synonymous with inflation rate. You didn't think other countries had no inflation did you?
082349872349872 3y ago
Good point about local inflation. Both the World Bank and my gov't claim 4% from 3.22 to 3.24 (or ~2% a year, which would explain why I hadn't noticed) So 5+4 = 9% imputed inflation for USD since 2022? (or no more than 5% in 2022 if it's been steady ... but still time to bump my rates; thanks you all for convincing me to go through this exercise!)
k3ejnk3n 3y ago
[flagged]
rafaelero 3y ago
What about gold and Bitcoin?

I invoice in USD and have expenses in a different currency, and while I've seen a few (~5) percent decline in the exchange rate since then, it's been nowhere near 18%.

refulgentis 3y ago

It's really funny math, based solely on the idea I borrow enough with floating interest rates, pegged to treasuries. <sarcasm>but it confirms I am suffering, therefore it is correct</sarcasm>

jeffbee 3y ago

Have you tried just ignoring your calculator and going all-in on vibes?

arduanika 3y ago

The pandemic was worldwide, and every other central bank has been printing, too. Depending on which currency you're trading against, that could be a factor. For a while in 2021-2, non-dollar currencies were inflating even faster, so DXY actually went up even as the dollar weakened against goods and services. Even if the tables have turned and the dollar is weakening faster now, it's not like everybody else has actually reigned in their own printing.

cruffle_duffle 3y ago
The pandemic didn’t cause this inflation. The governments response to it did. Governments love when people blame an infectious respiratory virus for their idiotic response.
- throw0101c 3y ago
  > The pandemic didn’t cause this inflation. Have you tried buying a car, new or used, recently? Supply chain issues caused by the pandemic certainly caused (parts of) inflation. Then there's geopolitics (energy/oil, food/wheat), also not helping with inflation. Supply-driven inflation looks to be the cause of at least half the run-up: * https://www.frbsf.org/research-and-insights/publications/economic-letter/2022/06/how-much-do-supply-and-demand-drive-inflation/ https://www.frbsf.org/research-and-insights/publications/eco... * https://www.frbsf.org/research-and-insights/data-and-indicators/supply-and-demand-driven-pce-inflation/ https://www.frbsf.org/research-and-insights/data-and-indicat... * https://en.wikipedia.org/wiki/Cost-push_inflation https://en.wikipedia.org/wiki/Cost-push_inflation

tonymet 3y ago

The other currency is also suffering from inflation

queuebert 3y ago

That will happen if the other currency is also inflating at the same time.

gizmo686 3y ago

Most currencies are experiencing inflation (for mostly the same reasons); so it tends to cancel out in the exchange rates.

fxd123 3y ago

And? That's not what inflation is

PKop 3y ago

Exchange rate is not synonymous with inflation rate. You didn't think other countries had no inflation did you?

082349872349872 3y ago

Good point about local inflation. Both the World Bank and my gov't claim 4% from 3.22 to 3.24 (or ~2% a year, which would explain why I hadn't noticed) So 5+4 = 9% imputed inflation for USD since 2022? (or no more than 5% in 2022 if it's been steady ... but still time to bump my rates; thanks you all for convincing me to go through this exercise!)

k3ejnk3n 3y ago

[flagged]

rafaelero 3y ago

What about gold and Bitcoin?