INTERNATIONAL HIGHLIGHTS
The Dirham depreciated this week against the Dollar because of a double basket-liquidity effect. The USD/MAD pair appreciated by +0.37% to 10.5870 in one week, its highest level seen since 2002.
In more details, the market effect comes out at +0.28% following a tightening of liquidity conditions.
The basket effect, meanwhile, stands at +0.09% under the effect of the appreciation of the US Dollar in the FX market.
Despite the improvement in the foreign exchange position, which is moving into positive territory, liquidity spreads show an increase of +28 BPS to 1.57% at the end of this week. Indeed, investors forecast larger import flows at ST than export flows.
Energy supply fears are weighing on growth prospects in Europe following the shutdown of the Nord Stream 1
gas pipeline. This situation is fueling volatility in the EUR/USD pair.
Under these conditions, we advise investors to pursue their strategies of hedging their exchange rate risk on
ST horizons.
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