Depends if you have Euros or Dollars. The Euro used to be worth much more than a dollar. Of course, the value of a dollar is also falling, so it just means the Euro is falling faster.

The dollar is falling compared to what? Commodity prices?

I think the answer is something like:

- the dollar is falling compared to US living expenses (US inflation)

- the euro is falling compared to the dollar (exchange rate)

- therefore, the euro is falling faster compared to US living expenses

- but the euro is not necessarily falling faster compared to EU living expenses (EU inflation)

Indeed, EU inflation and US inflation seem to be about the same, which means that the exchange rate change is not because one or the other is experiencing more inflation.

There are lots of ways to value the dollar, the Consumer Price Index is probably the most useful.

They mean purchasing power, e.g. inflation.

Falling relative to what?

Considering oil is priced in USD it will cost more euros to buy it. The USD is also the global reserve currency and it’s more expensive for a European to participate than ever before in the Euro era.

On the other hand it’s a great time for Americans to travel to Europe. Americans have for decades been relatively wealthy compared to Europeans but today are considerably so.

If you’re a Euro planning a trip to Disney, it’s very expensive right now.

Both. Imported stuff will be more expensive in Europe. Bad for consumers.

Exports from EU will be more competitive, which in the medium term will strengthen the Euro again.

It's good if you're an American interested in traveling to Europe/buying European goods.

Bad if you're an American selling products to Europeans.

The exchange rate doesn't matter. What matter is the change in the exchange rate.

Commodities like food and gas go to the highest bidder usually. If country A is paying $10/pound for bacon and country B is also paying $10/pound for bacon the bacon suppliers will sell bacon to both countries, but if all of a sudden country A is only paying $2/pound for bacon because their currency went down 80%, the bacon suppliers will only sell their bacon to country B at $10/pound.