The shekel-dollar rate is slipping 0.25% to NIS 4.015/$, a day after the representative rate was set at NIS 4.025/$. The shekel-euro rate is down 1.81% to NIS 5.2459/€.
Yesterday, the Bank of Israel set the representative shekel-dollar exchange rate above the NIS 4/$ level for the first time this year. In all of 2008, it was only set at that level once, on November 21.
The US Federal Reserve Bank left the Federal Funds rate unchanged yesterday, and signaled that it will buy long term Treasury bonds as needed.
Online foreign currency trading firm Easy Forex said that the rising shekel-dollar rate, which represents a weaker shekel, can be attributed to this week's 75 basis point interest rate cut, to a record low 1%, by Governor of the Bank of Israel Prof. Stanley Fischer.
The nearest support level is at NIS 3.95/$, with a resistance level at NIS 4.02/$. There is also technical support at NIS 3.9/$, with a further resistance level at NIS 4.05/$.
Published by Globes [online], Israel business news - www.globes-online.com - on January 29, 2009
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