Pre-Trading Thoughts

The CBE decided on Wednesday morning to allow market forces to determine the value of the EGP, while simultaneously raising interest rates by 6%. That is, the overnight deposit rate, the overnight lending rate, and the rate of the main operation were raised by 600bps to 27.25%, 28.25%, and 27.75%, respectively. The EGP formal rate traded at c.49.5 per USD after breaching the EGP50 border. NBE and Banque Misr announced on Wednesday the launch and the amendments of high yield certificates of de...