The Economist: Ruble undervalued 70.4% against US dollar
MOSCOW, Jan 11 (PRIME) -- The Russian ruble is undervalued by 70.4% against the U.S. dollar, The Economist said in a Big Mac index report on Friday.
УThe Big Mac index is based on the theory of purchasing-power parity, which states that currencies should adjust until the price of an identical basket of goods Ц or in this case, a Big Mac Ц costs the same everywhere,Ф it said.
УIn Russia, for example, a Big Mac costs 110 rubles (U.S. $1.65), compared with $5.58 in America.Ф
In January 2018, the ruble was undervalued 57% against the dollar, according to the index.
(66.8605 rubles Ц U.S. $1)