Bank Leumi: Hoping that uncertainty will subside, fundamental forces, such as the current account surplus, continue to support the appreciation of the shekel.
The shekel is rising sharply today against the US dollar and against the euro. In the afternoon, the shekel fell against the dollar by 0.82% to 3.566 shekels/dollar, and fell by 0.98% against the euro to 3.767 shekels/euro.
On Friday, the Bank of Israel set the shekel-to-dollar representative rate 0.222% lower, at NIS 3.595/$, and the representative shekel-to-euro rate was set 0.301% higher, at NIS 3.804/euro.
Kobi Levy, head of market strategy at Bank Leumi, said, “The shekel continues to strengthen against the dollar and the euro. Its strength began after the ceasefire agreement with Hezbollah, supported by an increase in foreign currency sales by the local financial sector, while on the other hand, the volume of purchases appears to have increased.” It is declining around the current rate, and in our assessment, despite the recent improvement in sentiment, political developments in Syria are increasing uncertainty in the region, and sentiment may change for the worse next year, and we hope that the uncertainty will disappear and if the situation calms down, the powers Fundamentals, such as the current account surplus, continue to support the appreciation of the shekel.”
The ceasefire agreement between Israel and Lebanon contributed to strengthening the value of the shekel, which reached its strongest levels in more than four months against the US dollar and its strongest levels in 20 months against the euro.
Published by Globes, Israel Business News – en.globes.co.il – on December 9, 2024
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