Shekel gains continue

Shekel-dollar ASAP Creative
Shekel-dollar ASAP Creative

Even the growing political uncertainty, as the prime minister is beset by police investigations, is not curbing investor appetite for the Israeli currency.

The shekel continues to strengthen against the dollar and against the euro. In morning inter-bank trading, the shekel-dollar exchange rate is down 0.25% from yesterday's representative rate at NIS 3.492/$, and down 0.57% against the euro at 4.289/€.

Yesterday, the Bank of Israel set the shekel-dollar representative rate up 0.086% from Tuesday's exchange rate at NIS 3.501/$ and set the shekel-euro rate down 0.155% at 4.313/€.

After a brief respite yesterday, the shekel is again strengthening against the dollar, while also continuing its rally against the euro, which did not halt yesterday. Earlier this week Prico Risk Management and Investments CEO Yossi Fraiman said that he expected the Bank of Israel to continue its efforts to weaken the shekel so that the exchange rate rises to the NIS 3.55-3.65/$ level even though its past three attempts have failed - the last of them last week.

However, a quick glance at the new pages suggests that the Bank of Israel will have its work cut out to weaken the shekel. Over the past few days alone the Tamar and Leviathan partners have announced a $15 billion deal and Intel has announced it will be investing $5 billion more in Israel. Admittedly both deals will only kick in for the medium to long term and won't affect the exchange rate in the coming months but they are indicative of how the Israeli economy is booming.

Even the growing political uncertainty, as the prime minister is beset by police investigations, is not curbing investor appetite for the Israeli currency.

Published by Globes [online], Israel business news - www.globes-online.com - on February 22, 2018

© Copyright of Globes Publisher Itonut (1983) Ltd. 2018

Shekel-dollar ASAP Creative
Shekel-dollar ASAP Creative
Twitter Facebook Linkedin RSS Newsletters גלובס Israel Business Conference 2018