Move over Big Mac, now its the Latte Index of currency valuation

The Wall Street Journal has put together a “Latte Index”, using purchasing-power parity (PPP) (i.e. comparing the cost of the same good in different countries) – to estimate which currencies are overvalued and undervalued

Check out the reulsts in the pic below:

For more on this (although its fun, PPP is a method of valuing currencies) I have posted on

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