Deutsche Bank Finds Ruble Value Using BEER Instead of Oil
- Currency is most undervalued in developing Europe, model shows
- Sees further gains after best EM performance since Jan. 21 low
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Deutsche Bank AG has a new reason to like the ruble: BEER.
According to the bank’s Behavioral Equilibrium Exchange Rate model, Russia’s currency is the most undervalued in developing Europe. The ruble is poised for further gains, even after outperforming all other developing peers since touching a record low of 85.999 on Jan. 21, according to analysts led by Alan Ruskin, global co-head of foreign-exchange research in New York at Deutsche Bank, the world’s second-biggest currency trader.