The shekel is weaker against the euro in inter-bank trading today.
The shekel is stable against the dollar in inter-bank trading, after the Bank of Israel last night left the interest rate for November unchanged at 3%. The shekel-dollar exchange rate is up 0.03%, compared with yesterday's representative rate, to NIS 3.645/$. However, the shekel is weakening against the euro. The shekel-euro exchange rate is up 0.47% to NIS 5.072/€.
The Bank of Israel cited falling inflation and concerns about a negative turnaround in the European and US economies as its reasons for keeping the interest rate unchanged, after cutting it by 25 basis points last month.
Trading in foreign currency markets is taking place against the backdrop of the ongoing talks in Europe over the debt crisis in the eurozone. The deciding meeting is due tomorrow - the second in four days - to set out a comprehensive solution for the crisis, including a bailout of Greece, strengthening banks, and prevent other countries, such as Spain and Portugal becoming insolvent.
Published by Globes [online], Israel business news - www.globes-online.com - on October 25, 2011
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