The shekel is again strengthening against the dollar but weakening against the euro. In late morning inter-bank trading, the shekel was down 0.41% against the dollar from yesterday's representative rate at NIS 3.824/$ and was up 0.53% against the euro at NIS 4.244/€.
Yesterday, the Bank of Israel set the shekel-dollar representative rate down 0.104% from Tuesday's rate at NIS 3.84/$, and the representative shekel-euro rate was set down 0.168% at NIS 4.222/€.
FXCM Israel said in its morning survey, "The shekel-dollar exchange rate continues to tread water around NIS 3.84/$. Yesterday, the US Federal Reserve kept interest rates unchanged, as expected, but declared that its policies were more optimistic than last month and it seems that it is preparing the ground for an interest rate hike in the coming months, with market sources believing that the rise will be in December."
FXCM Israel added, "Positive market sentiment is supporting the strength of the shekel and offsets the interest rate advantage of the dollar. While the shekel-dollar rate remains below NIS 3.85/$, the tendency is for the rate to move downwards."
Published by Globes [online], Israel business news - www.globes-online.com - on July 28, 2016
© Copyright of Globes Publisher Itonut (1983) Ltd. 2016