Prico CEO Yossi Fraiman: at around NIS 3.50-3.53/$, we expect foreign currency demand to halt the appreciation of the shekel in the short term.
The shekel is flat against the dollar and euro in inter-bank trading today. The shekel-dollar exchange rate has risen 0.08%, compared with yesterday's representative rate, to NIS 3.54/$, and the shekel-euro exchange rate has fallen 0.09% to NIS 4.793/€.
Prico Risk Management and Investments CEO Yossi Fraiman said today, "The expectation in the market is that the US administration is close to an agreement with Congress and that the US won't be required to cope with difficulties in paying its debts, and this is contributing to the stability of the dollar. The belief among investors is that the recovery in economic activities in Europe is contributing to the strengthening of the euro, Swiss franc and sterling with the latest UK economic data indicating the possibility that Britain is faring better than the euro bloc countries."
Regarding the local market Fraiman said, "The domestic foreign currency supply towards tax payments at the end of the month is contributing to the weakness of the dollar although at around NIS 3.50-3.53/$ we expect foreign currency demand to halt the appreciation of the shekel in the short term."
Published by Globes [online], Israel business news - www.globes-online.com - on October 15, 2013
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