Lebanese Forex Market
Demand for the dollar on the Lebanese forex market stabilized over the past week as the value of the Lebanese pound against the dollar steadied at $/LP 1,514-1,514.50 with a mid-price of $/LP 1,514.25.
Foreign assets (excluding gold) of the Central Bank increased 9.81% since the beginning of the year to $40.73B by August 2016. The dollarization ratio of private sector deposits fell from 64.88% in December 2015 to 64.84% in June 2016.
By Friday the 9th of September 2016, the euro appreciated against the dollar-pegged LP over the last week, going from €/LBP 1,685.69 to €/LBP 1,698.95. As for the Nominal Effective Exchange Rate (NEER) of the LBP, it fell by 0.31% to reach 166.58 points.
International Forex Market:
The euro grew stronger against the dollar with the euro/dollar exchange rate rising from €/$1.1182 to €/$1.1270, this week. The euro’s strength came about as Mario Draghi, the head of the European Central Bank, appears likely to keep the monetary policy unchanged for now.
Commodities:
Over the week, demand for gold rose slightly from $1,311.96/ounce to $1,334.9/ounce this week.