Information is like that old and outspoken relative who has stopped using a “filter” on their speech a long time ago. When it comes to EUR to USD, the most accurate and timely information can be either bad or good as long as it can be counted on to be real. When we are moving money around the globe for major purchases that involves massive amounts that are about as real as it gets. Knowing that the conversion rate of one currency to another one is up to the second and “dead on” are crucial in our world. An average daily fluctuation of about .75 percent may not seem like much but when large amounts are involved it adds up quickly.
A few decades back we would “lock in” a quote at a particular time, and we always thought that was the only option available. In today’s market, we do everything in “pieces” over a particular span of time and up to the second information might make the difference in tens of thousands of USD losses or even more during an average day. When currency shifts one way or the other it may not seem like much for someone to talk about a few tenths of a percent. When we are doing a series of purchases today which involve currency transfer we use state of the art automation for the correct time to shift in and out of the currencies. Using precise information if we can even cut the average variance in half and be on the right side half of the time our volatility for moving money and making acquisitions would only be .4 percent. An annual difference of only 1.2% over the entire lifetime of the two currencies sounds tiny but considering how many times you guess right or wrong based on razor sharp stats is a much higher percentage. Anyone who does not implement up to the second data when conducting business in multiple countries is flying blind. Those who continue flying blind in today’s world economic market will run into more obstacles than they can count in a very short period. For us, it is not a matter of convenience to remain well informed but rather a means for survival.
0 Comments
|