| 03/06/2022 | 27/05/2022 | %Change | YTD | |
| Euro / LP | 1,616.30 | 1,610.58 | 0.36% | -5.41% |
| Euro / Dollar | 1.0722 | 1.0684 | 0.36% | -5.40% |
| NEER Index | 161.19 | 161.43 | -0.15% | 7.55% |
Lebanese Forex Market
To-date, the Lebanese Pound (LBP) remained steady within the official range of USD/LBP 1,514 to 1,514.5, with a mid- price of USD/LBP 1,514.25 by 03 June, 2022.
On the parallel market this week, the Lebanese currency improved this week, and recorded approximately LBP/USD 28,500 by the end of this week. The governor of BDL Riad Salame has revived the circular 161 that allows citizens who have bank account to buy dollar on the “Sayrafa” rate that is lower than the black market rate by an average of 4,000 Lebanese lira.
As for the Euro/LBP currency pair, the Euro depreciated against the dollar-pegged LBP with the currency pair going from last week €/LBP 1,610.58 to €/LBP 1,616.30 by June 03, 2022. Moreover, the Nominal Effective Exchange Rate (NEER) of the Lebanese pound slightly decreased weekly by 0.15% to stand at 161.19 points on June 03, 2022.
International Forex Market
The Euro/USD appreciated against the dollar from last week from €/USD 1.0684 to €/USD 1.0722 by June 03, 2022. The Euro is at a delicate crossroad as Eurozone inflation data came at 8.1% higher for the month of May and well above expectations of 7.8%, calling for higher interest rates ahead. ECB is looking to regain control on the euro currency by future interest rate hikes that appear to be a key factor in further price development.
Commodities
Gold prices solidly increased by 0.48% at the end of this week to $1,866.4/ounce backed by a weaker dollar that makes gold more attractive. Furthermore, the U.S job data less than expected this month raised the recession concerns that have been in the headline and supporting gold.
Crude oil prices also recorded an uptick at the end of this week by 2.15% to $116.14/Barrel as China eased Covid19 restrictions and the European zone discussed a radical plan to ban imports of Russian oil. Consequently, overheated demand for oil sparked upside momentum in the markets. Meanwhile, U.S President is planning to meet with the leaders of Arab oil-rich nations this month to discuss the oil market.