The Ghana cedi made a surprise recovery against the three major trading currencies. The dollar recorded its two straight-week-on-week depreciation against the local currency following the supply boost from the successful dollar denominated forex auction held three weeks ago.
The cedi closed the trading week at 4.34 per cent appreciation against the dollar as developments including postponement of the healthcare bill in the US, and the G20’s reaction towards the U.S stance on global trade relations affected investors sentiment. The cedi thus traded lower at GH¢4.35 per the dollar, representing a year-to-date depreciation of 3.58 per cent.The Euro also witnessed a two-straight week-on-week depreciation versus the Ghana cedi despite its strong outlook on the international currency market.The Euro which rose on growing market expectations of a much tighter monetary policy by the European Central Bank, economic recovery in the Eurozone and subdued political uncertainties was outstripped by the Ghana cedi by 3.81 percent. The Ghana cedi thus traded at GH¢4.70 per euro last Friday, representing a year-to-date depreciation of 5.89 percent.The Pound recorded its 5th week-on-week depreciation against the Ghana cedi at the close of the trading week. Following similar developments as the 19-bloc currency, the Pound was also buoyed on the international currency market following the exceptional rise in inflation data and investors anticipation of both a bullish inflation outlook and retail data on UK’s economy.
The Ghana cedi therefore ended with 3.46 percent week-on-week appreciation to lessen its year-to-date depreciation to 4.44 percent. It traded at GH¢5.43 per the pound.
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