Exchange rate drama!

Sometime this weekend the dollar-pound exchange rate dropped below $1.50. I know this because, when I was unable to sleep at 2:30 a.m. this morning, I hopped onto the computer and looked it up. $1.49 and decimals. I then sang myself to sleep with lullabies of "the pound is falling, the pound is falling."

When I last checked a bit ago, it was back to $1.50. Still, that's a number that hasn't been seen in years!

I've been debating in recent weeks how low the pound would need to go before it would make sense to take some money to a bank and exchange it (or buy English traveler's checks) in anticipation of next spring's trip. Not enough to fund the whole trip, but enough for cash spending money. Obviously I'd lose some on the exchange, so the deal would need to be pretty good.

Of course, that leads to dilemma number 2. What if the exchange rate is better in the spring? On the other hand, what if it is worse? Like it was in 2007 and 2006? Then I'd be kicking myself.

What will probably happen is that inertia will keep me from even making the decision to exchange or not exchange, and I'll end up just taking my chances in the spring. But I'm sure I'll be debating this question all along the way.