Euro down Against the Dollar this Week amid Stagnating Lebanese Pound

Lebanese Forex Market:

Demand for the Dollar in the Lebanese Forex Market remained unchanged over the past week as the value of the dollar steadied at $/LP 1,513.75-1,514.25 with a mid-price of $/LP 1,514.

Foreign assets (excluding gold) of the Central Bank decreased by 1.56% by the end of March, to $36.59B. The dollarization ratio of private sector deposits fell from 64.88% in December 2015 to 64.67% in January 2016.

By Friday 8th of April, 2016, 3:00 pm Beirut time, the euro depreciated against the dollar-pegged LP as the exchange rate down ticked by 0.08%, over the last week, from €/LP 1,717.80 to €/LP 1,716.44. As for the Nominal effective Exchange Rate (NEER), it added a weekly 0.03% to 166.28 points, recording a 1.25% year-to-date decrease.

International Forex Market:

The euro also went down against the dollar as the exchange rate rose from last week’s €/$ 1.1395 to €/$ 1.1386 this week and that came about as the FOMC’s minutes of meeting confirmed that interest rates hike is still possible in April. Also, fears from Britain’s exit from the EU were weighing on the European currency.

Commodities:

As the dollar remained approximately stable over the week, gold prices followed by the same path steadying at $1,232/ounce.

Leave a Reply

Your email address will not be published. Required fields are marked *