The Euro Depreciated against the Dollar this Week

 Lebanese Forex Market

Demand for the Lebanese Pound steadied over the past week on the Lebanese forex market with the value of the Lebanese Pound trading within the range of $/LP 1,513.75-1,514.25 with a mid-price of $/LP 1,514.

Foreign assets (excluding gold) recorded a year to date (y-t-d) upturn of 3.68% to $44.03B by September 2017.

The dollarization ratio of private sector deposits rose from 65.82% in December 2016 to 66.92% by the end of September 2017.

By Friday October 27th, the euro depreciated against the dollar-pegged LP going from €/LBP 1,776.49 on the 20th of October to €/LBP 1,754.27, this week.

As for the Nominal Effective Exchange Rate (NEER) of the LBP, it rose by 0.92% over the past week to stand at 112.94 points.

International Forex Market:

The Euro depreciated against the dollar as investors are expecting that interest rates will rise at a higher pace in the US compared to Europe. The Euro/Dollar rate stood at 1.1637 this week compared to 1.1784  last week.

Commodities:

On the back of a stronger dollar, gold prices rose from $1,267.82/ounce last week to $1,282.60/ounce this week.

 

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