Shekel rebound gains momentum

Shekel-dollar ASAP Creative

The underlying reason for the strong shekel remains the robust state of Israel's thriving economy.

The shekel is strengthening today against the dollar and against the euro. In early afternoon inter-bank trading, the shekel-dollar exchange rate is down 0.89% against the dollar at NIS 3.501/$ and down 0.48% against the euro at NIS 4.315/€.

Yesterday, the Bank of Israel set the shekel-dollar representative rate down 0.141% from its Thursday rate before the final Passover holiday at NIS 3.532/$ and set the shekel-euro rate down 0.053% at 4.335/€.

After reaching its weakest for two months against the dollar last week, the shekel is recovering strongly today. This despite the Bank of Israel reporting that the country's foreign currency reserves fell for the second consecutive month as purchases of foreign currency to weaken the shekel have been negligible. The shekel is also strengthening despite growing concerns that Israel's inflation rate at 0.2% over the past 12 months is not moving towards the government target range of 1%-3% that would allow the Bank of Israel to raise the interest rate from its historic low of 0.1%, where it has sat for over three years.

The underlying reason for the strong shekel remains the robust state of Israel's thriving economy.

Published by Globes [online], Israel business news - www.globes-online.com - on April 10, 2018

© Copyright of Globes Publisher Itonut (1983) Ltd. 2018

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Shekel-dollar ASAP Creative
Shekel-dollar ASAP Creative
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