FXCM Israel: The shekel-dollar rate is exposed to further falls.
The shekel is strengthening against the dollar and against the euro today. In morning inter-bank trading, the shekel-dollar exchange rate was down 0.27% from yesterday's representative rate at NIS 3.615/$, and down 0.57% against the euro at 3.90/€.
Yesterday, the Bank of Israel set the shekel-dollar representative rate up 0.249% compared with Tuesday's rate at NIS 3.625/$, and the representative shekel-euro rate was set down 0.326% at NIS 3.912/€.
FXCM Israel said in its daily review this morning, "After the shekel-dollar exchange rate fell earlier this week to the lowest rate since September 2014, it recovered somewhat yesterday to around NIS 3.62/$. From a technical point of view, only rising above NIS 3.66/$ will see the dollar recover from the low-point created of NIS 3.60/$ and until then the exchange rate is exposed to continued falls. Worldwide the dollar has moved up from the low levels it reached after Trump's failure to cancel Obama's health reforms and it seems that this process has been fully realized. The dollar has found support from the weakening of the euro amid reports that the ECB is hesitating about changing policy out of concern about a harsh reaction by the markets nd this makes tangible the gap in interest expectations between the dollar and the euro."
Published by Globes [online], Israel business news - www.globes-online.com - on March 30, 2017
© Copyright of Globes Publisher Itonut (1983) Ltd. 2017
Shekels Photo: Shutterstock