INTERNATIONAL HIGHLIGHTS
The EUR/USD pair appreciated this week by +0.44%, rising from 1.0540 to 1.0586, a 6-month high.
US inflation slowed in November to 7.1% below expectations of 7.3%. After raising its key rate by +75 PBS in its last 4 FOMC meetings, the Fed reduced its pace of rate hikes to +50 PBS for the 1st time in its last meeting
of year 2022.
In the Euro Zone, inflation stood at 10.1% in November against 10.6% a month earlier. The ECB decides to slow down its monetary tightening with a rate hike of 50 BPS while anticipating further hikes in 2023.
The USD/MAD pair fell for the 6th consecutive week by -0.60% to 10.49 this week. This is a more than 4- month low after hitting a yearly high of 11.1 last September. This is due to a negative basket effect of -0.41% and a liquidity effect of -0.19% in favor of the MAD.
Liquidity spreads improved this week from 4.60% to 4.40%, a drop of -20 BPS. The latter remain at high levels exceeding the 4.0% threshold at the closest to the upper band of the MAD fluctuation band.
In addition, the banks' foreign exchange position improved to MAD 2.7 bn this week on a weekly average against MAD 2.5 bn dirhams previously.
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