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What The Economist’s Big Mac index reveals about currency markets in 2018

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Daily Dispatch | Thursday | January 18th 2018
 
 
 
 
Currency values: Return of the Mac
The Economist’s Big Mac index compares the price of a well-known burger in different countries. Since a Big Mac is the same everywhere, you might expect it to cost the same everywhere. But it doesn’t—and the variations in its price give a clue as to which currencies are over- and undervalued. This month’s analysis shows that undervalued currencies have been gaining on the dollar, writes our data team
 
 
 
 
American justice: Wise counsel?
Is a lawyer allowed to admit the guilt of a client who claims innocence? That was the question before the Supreme Court yesterday. Robert McCoy was found guilty of murder and sentenced to death. His lawyer had insisted on pleading that he was “crazy” rather than innocent. The justices seem likely to decide that Mr McCoy was deprived of his right to “the assistance of counsel”, writes our courts correspondent
 
 
 
 
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GE: Regrets are not enough
On Tuesday General Electric said it would have to take a $9.5bn charge (before tax) on old reinsurance contracts relating to its financial arm, GE Capital—despite having left the insurance business in the mid-2000s. GE had already been struggling, with its share price down by over 40% in the past year. The risks of such long-term insurance contracts were clear. Now the conglomerate’s new boss, John Flannery, is considering breaking it up
 
 
 
Musicians as actors: New ensembles
Harry Styles, whose casting in “Dunkirk” was met with shrugs, is the latest in a long line of singers to have sought crossover stardom. It was an impressive film. But it is far from clear that Mr Styles will make it as a leading man. What is clearer is that he will not match the output of earlier performers. Bing Crosby churned out an astonishing 12 albums in 1948 and also starred in “The Emperor Waltz”
 
 
 
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