Shekel gains, consolidates below NIS 3.50/$

Shekel  / Photo: Shutterstock

The Bank of Israel made foreign currency purchases of $312 million last month - the first major purchases since Prof. Amir Yaron became Governor last December.

The shekel is again strengthening today against the dollar and against the euro. In early afternoon inter-bank trading the shekel-dollar exchange rate is down 0.23% at NIS 3.482/$ and down 0.28% against the euro at NIS 3.859/€.

Yesterday, the Bank of Israel set the shekel-dollar representative rate down 0.314% at NIS 3.490/$ from Tuesday's exchange rate, and set the shekel-euro rate down 0.509% at 3.870/€.

The shekel continues to gain ground with Leader Capital Markets macroeconomist Yonatan Katz predicting that there will be rate cut later this month when the Bank of Israel Monetary Committee meets because the October Consumer Price Index is expected to be high.

The Bank of Israel made foreign currency purchases of $312 million last month - the first major purchases since Prof. Amir Yaron became Governor last December. This suggests that if the rate falls below NIS 3.45/$, the Bank of Israel could intervene to weaken the shekel and help exporters.

Published by Globes, Israel business news - en.globes.co.il - on November 7, 2019

© Copyright of Globes Publisher Itonut (1983) Ltd. 2019

Shekel  / Photo: Shutterstock
Shekel / Photo: Shutterstock
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