Egypt’s Pound Gains on Black Market, Easing Devaluation Path

Egypt’s pound strengthened dramatically on the local black market for US dollars, a move that may help set the stage for the cash-strapped nation’s widely-anticipated next devaluation.

The currency has been changing hands at less than 60 per greenback since Sunday after hitting records of more than 70 last week, according to traders. The gains followed a far-reaching crackdown by authorities on the parallel market and frenzied, unconfirmed rumors on social media about a vast Gulf investment in the North African nation.