Euro Up Against the Dollar this Week on Account of Growing Global Economic Risks
Lebanese Forex Market:
Demand for the Dollar in the Lebanese Forex Market remained unchanged over the past week as the value of the Lebanese Pound steadied at $/LP 1,513-1,514 with a mid-price of $/LP 1,513.5.
Foreign assets (excluding gold) of the Central Bank fell by a monthly 1.91% to $37.09B at the end of December 2015. The dollarization ratio of private sector deposits fell from 65.71% in 2014 to 64.88% in 2015.
By Friday 12th of February, 2016, 10:30 am Beirut time, the euro appreciated against the dollar-pegged LP as the exchange rate added 0.90%, over the last week, from €/LP 1,687.65 to €/LP 1,702.87 . As for the Nominal effective Exchange Rate (NEER), it decreased by a weekly 0.13% to 167.55 points.
International Forex Market:
The Euro rose by a weekly 0.90% against the dollar as it appears investors are rushing to buy safe-haven currencies on account of growing concerns over global economic risks. The euro-dollar might go back in favor of the dollar if the upcoming US retail sales data for January is robust.
Commodities:
The rush for safety pushed gold prices higher from last week’s $1,148.50/ounce to $1,240.36/ounce this week.
