Shekel strengthens in wake of interest rate hike

By GLOBES
May 24, 2011 11:36

 
X

Dear Reader,
As you can imagine, more people are reading The Jerusalem Post than ever before. Nevertheless, traditional business models are no longer sustainable and high-quality publications, like ours, are being forced to look for new ways to keep going. Unlike many other news organizations, we have not put up a paywall. We want to keep our journalism open and accessible and be able to keep providing you with news and analyses from the frontlines of Israel, the Middle East and the Jewish World.

As one of our loyal readers, we ask you to be our partner.

For $5 a month you will receive access to the following:

  • A user experience almost completely free of ads
  • Access to our Premium Section
  • Content from the award-winning Jerusalem Report and our monthly magazine to learn Hebrew - Ivrit
  • A brand new ePaper featuring the daily newspaper as it appears in print in Israel

Help us grow and continue telling Israel’s story to the world.

Thank you,

Ronit Hasin-Hochman, CEO, Jerusalem Post Group
Yaakov Katz, Editor-in-Chief

UPGRADE YOUR JPOST EXPERIENCE FOR 5$ PER MONTH Show me later

The shekel strengthened against the dollar and euro in morning inter-bank trading, the morning after the Bank of Israel raised the interest rate by 25 basis points to 3.25%. The shekel-dollar exchange rate fell 0.95% to NIS 3.482/$ and the shekel-euro exchange rate fell 0.69% to NIS 4.899/€.

In international markets, the dollar is trading at $1.405/€.

Clal Forex has set the shekel-dollar exchange rate support level at NIS 3.464/$ and the resistance level at NIS 3.55/$. "A breakthrough and closing above NIS 3.55/$ could result in the exchange rate rising to $3.60/$," it said today.

Goldman Sachs says that the Bank of Israel may not raise the interest rate next month, but predicts that the interest rate will reach 4.25% by the end of 2011 and 5.25% by the end of 2012. JPMorgan believes that the interest rate will reach 4.5% by the end of 2011 and 5.5% by the end of 2012. Merrill Lynch predicts a 4% interest at the end of 2011, while Barclays expects it to reach 4.5% by early 2012.

Join Jerusalem Post Premium Plus now for just $5 and upgrade your experience with an ads-free website and exclusive content. Click here>>

Related Content

Breaking news
November 21, 2018
Turkey may seek U.N. inquiry if Saudi cooperation reaches standstill

By REUTERS