Foreign exchange rates.

• Author: Davidson, Paul
• Position: ALASKA TRENDS

Alaska Trends. an outline significant statewide statistics, is provided by the University of Alaska Center for Economic Development.

The Federal Reserve Bank of New York collects records of purchases through cable transfers payable to foreign countries taking note of their exchange rates. Foreign exchange rates, also known as "Forex rates," are set by the market through free trades between individuals using different currencies or by government intervention, known as "pegging." The Federal Reserve's data for Canada, the United States' largest trading partner, shows the Canadian dollar (CAD) growing in value from a low of 1.5997 CAD per USD for January of 2002 to the 2012 rate hovering around a one-to-one trade.

The chart shows the Chinese Yuan Renminbi at around 8.27 per USD from 2001 to 2005. The pegged currency shows gradual increases in valuation to its current rate of 6.22 per USD. The devaluing of the Yuan causes imports to the U.S. from China to be more expensive and U.S. exports to China to be less expensive.

The relatively expensive (strong) U.S. Dollar policy of the early 2000s made imports to the U.S. less expensive and benefited the U.S. retail economic sector. The USD has seen some devaluation overall since the recession of 2008, which will make importing U.S. goods and services more appealing to those using stronger currencies.

SOURCES: Federal Reserve Bank: www.federalreserve.gov/releases/h10/his/; U.S. Census Bureau, Center for International Research CIR Staff Paper No. 69: http://www.census.gov/population/international/files/sp/SP69.pdf; U.S. Presidents Economic Report, Ch 3. Whitehouse Crisis and Recovery In the World Economy: http://www.whitehouse.gov

ALASKA TRENDS Latest Report Indicator Units Period Period GENERAL Personal Income--Alaska US$ 3rd Q12 34,050 Personal Income--United States US$ 3rd Q12 13,397,827 Consumer Prices-- Anchorage 1982-1984 = 100 1st H12 205.22 Consumer Prices--United States 1982-1984 = 100 1st H12 228.85 Bankruptcies Alaska Total Number Filed November 52 Anchorage Total Number Filed November 38 Fairbanks Total Number Filed November 10 EMPLOYMENT Alaska Thousands November 336.31 Anchorage & Mat-Su Thousands November 188.24 Fairbanks Thousands November 44.28 Southeast Thousands November 35.41 Gulf Coast Thousands November 35.33 Sectorial Distribution-- Alaska Total Nonfarm Thousands November 328.0 Goods Producing Thousands November 36.3 Services Providing Thousands November 281.7 Mining and Logging...