The shekel is strengthening against the dollar and weakening against the euro in inter-bank trading this morning. The shekel-dollar exchange rate is trading down 0.46% against the dollar at NIS 3.861/$, and up 0.76% against the euro at NIS 4.349/€.
Yesterday, the Bank of Israel set the shekel-dollar representative exchange rate at NIS 3.879/$, down 0.283% on Monday's rate, and set the shekel-euro representative exchange rate at NIS 4.316/€, down 0.328%.
Since last week when the Bank of Israel decided to leave the May interest rate unchanged, and despite its purchasing hundreds of millions of dollars in foreign currency, the shekel has strengthened 1.5% against the dollar.
FXCM Israel research department said this morning, "The shekel-dollar exchange rate is now trading in the NIS 3.87-3.90/$ range. Rising above NIS 3.90/$ would return it to the NIS 3.90-4/$ range but slipping below NIS 3.87/$ could drive it down to the previous NIS 3.83-3.84/$ low points. At least at the start of the week, shekel-dollar trading was dictated by dollar trading on world markets. The main factor currently influencing the dollar is the macroeconomic figures that will be published in the US, against the background of uncertainty over the Federal Reserve's interest rate intentions."
Published by Globes [online], Israel business news - www.globes-online.com - on May 6, 2015
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