FXCM Israel: Market conditions support a continued weakening of the dollar.
The shekel is strengthening in early afternoon inter-bank trading against the dollar and weakening against the euro. The shekel-dollar exchange rate is down 0.30% at NIS 3.735/$ compared with yesterday's representative rate, an 18 month low, and the shekel-euro rate is up 0.67% at NIS 4.331/€.
Yesterday, the Bank of Israel set the shekel-dollar representative rate down 0.399% from Thursday's rate at NIS 3.746/$, and the representative shekel-euro rate was set up 0.705% at NIS 4.302/€.
In its daily survey FXCM Israel said this morning, "the shekel-dollar exchange rate has stabilized to some degree and climbed above NIS 3.74/$ but is still trading under pressure and despite the extreme over-sell situation there is no sign of a dollar correction or the dollar strengthening. Worldwide the sharp fall of the dollar has not created any demand for the dollar and it seems that market conditions support the continued weakening of the dollar."
Published by Globes [online], Israel business news - www.globes-online.com - on May 3, 2016
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