Lebanon on the brink, Hajj underway, Morocco rates

Tensions between Hezbollah and Israel have ratcheted up in recent weeks and now threatens to draw Lebanon directly into the war. The economy is already in the midst of one of the worst crises on record globally since 1800, and things only risk getting worse. Elsewhere, the Hajj got underway in Saudi Arabia this week and while the Kingdom has tried to outline goals of broadening out non-religious tourism, progress on that front has fallen short of lofty ambitions. And finally, with inflation back to near zero, we think that Morocco’s central bank is set to join the EM monetary easing cycle next week.