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Written by Trader Shane on October 26th, 2010

Peruvian forex traders get cheap lattes!

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A great site called good.is came up with a clever little picture a few years back to explain forex through the commodity of a Starbuck’s latte as opposed to the dollar.

foreign exchange rates for a latte from around the world

An interesting concept for sure. The Economist has been explaining purchasing power parity for decades with their “Big Mac Index.” So the next time you’re collecting pips, think about how many lattes that will purchase you in Peru! Actually… it’s just an excuse for us to go there now.

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