INTERNATIONAL HIGHLIGHTS
The USD/MAD appreciated this week by +0.75% after 3 weeks of successive declines, going from 9.68 to 9.75.
This is due to a double positive effect, i.e. a positive basket effect of +0.56% related with the correction of the Euro internationally and a positive liquidity effect of +0.19%.
Liquidity spreads increased by 19 BPS from -0.38% to -0.19% this week. The latter remain negative at one-year lows, supported by the export flows of tourist activity and workers’ remittances which characterize the summer period.
Despite the downward correction in EUR/USD, we anticipate a decline in the USD/MAD parity over a very ST horizon and we recommend that exporters hedge over a 1-month horizon.
The MAD appreciation should be supported by a positive market effect due to the increase in export flows during
the summer period.
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Sur le même thème
MAD Insights July 21st 2023
USD/MAD depreciated for the 3rd consecutive week by -1.26% to 9.68 against 9.81 a week earlier, i.e. a new low since April 2022. This is due to a negative basket effect of -1.84% related to the depreciation of the Dollar internationally, offset by a positive liquidity effect of +0.58%.
MAD Insights July 11th 2023
The USD/MAD pair depreciated this week by -0.75% to 9.81 from 9.88 a week earlier, i.e. its lowest level since April 2022. The downward trend in liquidity spreads intensified this week with moving into negative territory for the first time in 12 months.
MAD Insights July 7th 2023
The USD/MAD pair depreciated this week by -1.31% to 9.88 from 10.01 a week earlier, a 12-month low. This evolution is explained by a double effect (basket and liquidity) in favor of the Dirham. [...]
