The shekel has weakened substantially against the US dollar at the opening of the week's trading on the foreign exchange market this morning, but has strengthened even more substantially against the euro. The shekel-dollar exchange rate has risen 0.78% in comparison with the representative rate set on September 23, before the Jewish New Year break, to NIS 3.6866/$. The shekel-euro rate has fallen 0.92%, to NIS 4.6691/€.
FXCM Israel says in its daily market review today, "The shekel-dollar exchange rate has risen for eight successive weeks, and is at its highest since July 2013. The agreement on the state budget between the minister of finance and the prime minister could support the shekel to some extent, after the uncertainty of the past few weeks. The pair is currently traded near the resistance level at NIS 3.68/$. A rise above this level will pave the way to NIS 3.7/$. A fall below NIS 3.66/$ could be a signal for a downward correction.
"This week's main event will be the release of the September employment report in the US. The report is expected to show an additional 210,000 jobs, after disappointing figures last month. Continued expansion of employment in the US will boost demand for the dollar, which will have its effect on the rate against the shekel."
Published by Globes [online], Israel business news - www.globes-online.com - on September 29, 2014
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