The shekel is mixed against the major currencies this morning. The shekel-dollar exchange rate is currently up 0.14% in comparison with Friday's representative rate, at NIS 3.8234/$, and the shekel-euro rate is down 0.10%, at NIS 4.0599/€.
FXCM Israel says in its market review this morning, "The dollar-shekel pair continues to retreat, in line with the correction in the dollar on world markets that began after Donald Trump's press conference, which left market players disappointed, since the US president-elect failed to mention a growth-oriented economic policy.
"It looks as though the 'Trump effect' on the dollar has passed, and the markets are now waiting for words to become deeds. Since Trump is still a riddle, his initial period in office is likely to bring greater volatility on the markets, with every policy step, particularly on the economic front, causing waves on the financial market and in trading in the dollar.
"This week's economic diary is fairly empty, with the only significant macro figure due to be released in the US being the Consumer Price Index, which will affect inflation and interest rate expectations.
"On the technical level, the dollar-shekel pair is already close to the lower end of the current range at NIS 3.80/$. A breakthrough below this level could accelerate the fall towards NIS 3.77-3.78/$."
Published by Globes [online], Israel business news - www.globes-online.com - on January 16, 2017
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