American rhetoric portending a military strike in Syria made waves in Israeli
markets on Tuesday, sending the shekel to its weakest point since early July and
leading to a 2.4% drop in the Tel Aviv Stock Exchange’s top 25 index.
Monday, US Secretary of State John Kerry said it was "undeniable" that the Syrian regime used chemical weapons in its civil war, and that "“President Obama
believes there must be accountability for those who would use the world’s most
heinous weapons against the world’s most vulnerable people." CBS reported that
the Obama administration was preparing an "airtight circumstantial case" against
Assad to justify a strike.
The shekel, which has been on a strong streak,
hovering below 3.6 to the dollar since early July, shot up to 3.603 on Monday at
3.654 on Tuesday, it’s weakest showing in six-and-a-half weeks. Just two weeks
ago, it had sunk to 3.528 against the dollar.