A depressed dollar is turning Fifth Avenue into a virtual flea market for global travelers as strong currencies like the British pound and the euro create a glut of great deals on fashions, electronics and hot status brands.

New York City is celebrating a record year from foreign tourists hitting town for weak dollar bargains – reaping savings of about one-third of what they’d spend back home.

Their bargain boom is fueled by the falling dollar, whose value in the past year is down 12 percent against the pound and off 10 percent against the euro, boosting foreign travelers’ purchasing power.

The dollar fell last week to its weakest level in 19 months, trading at $1.31 against the euro and at $1.93 against the pound. Analysts expect the greenback to slide as much as another 2 percent this week.

For the record 7.3 million foreign tourists expected to visit the Big Apple this year, the weak dollar is creating savings substantial enough to nearly pay for the trip itself.

For example, the Microsoft Zune player – a rival to Apple’s iPod – sells for $442 in London but can be found in New York stores for about $249, a savings of $193. That’s about one-third of the price of the lowest New York-London airfare offered by bookers on the Internet.

Stocking up on shoes and dresses could also cover the typical $300 nightly hotel tab.

A mini-dot jersey dress sells at Saks Fifth Avenue for about $425, but an equivalent dress would cost about $580 at Selfridges in London. At Dixons, a popular London electronics retailer, a Panasonic mini camcorder costs the equivalent of $1,368, but can be bought at J&R near City Hall for just $999.99.

And it’s not only New York City that stands to benefit. European tour operators are said to be packaging shopping tours for U.S. cities – including weekend sprees in such hard-core retail destinations as the Mall of America in Minnesota, the world’s largest shopping center – where three nonstop flights arrive daily from Europe.

“They’re giving European travelers any reason they can think of to get on a plane,” said aviation analyst Terry Trippler.

Although New York’s economy is cashing in big, with an estimated record of $24 billion spent in tourist dollars this year, the nation’s overall economy could suffer from the weak greenback.

The purchasing power of the euro and pound could spur investors to pour cash into European assets and away from dollar-denominated assets.

The weaker returns on dollar-denominated debt may also encourage central banks to hold more of their foreign-exchange reserves in other currencies instead of the dollar, which long has been their currency of choice.

The slide in the greenback also prompted speculation that the Federal Reserve will lower rates early next year.

The economy itself is at a tipping point. Economists are divided over whether it will experience a soft landing or a bumpy one next year.

ENGLI$H INVASION

With the weakening dollar, the city is becoming a sales haven for foreign tourists. A record 7.3 million international visitors are expected this year.

Bargain buys:

Hip jersey dress:

Britain, $580;

Saks, $425

Microsoft Zune player (right):

U.K., $442;

NYC, $249

Mini-DVD camcorder:

U.K., $1,368;

NYC, $999

POUND vs. DOLLAR chart