$45billion.. The Bank of Israel supports shekel after the Hamas attack
Shrouq
The shekel is falling and the Bank of Israel is intervening to stop the collapse of the currency
The Israeli shekel fell against the dollar to its lowest level in 8 years, in Monday’s trading, with the escalation of the conflict in the Middle East.
The Bank of Israel plans to secure dollar liquidity for lenders and sell foreign currencies for the first time since it allowed the shekel to trade freely as part of a non-committal diversification program in the follow-up to the dissent launched by Hamas.
$30 billion
The central bank will sell up to $30 billion and extend up to $15 billion through a swap calculator, according to a statement on Monday. It aims to improve work in the market during the remaining period, which is to reduce the price at the wholesale price and increase the need.
Israeli weapons
Israeli weapons quickly eliminated their danger after adjusting them by up to 2% upon opening. It traded 1.6% weaker at 3.9099 $ credit score as of 9:34 a.m. local time. the country's benchmark TA-35 index suffered its biggest loss in more than three years on Sunday, down 6.4%.
The war with Hamas will be long and difficult
“In such circumstances, it is more consistent than the levels,” said Jeffrey Yeo, a currency and macro strategist at BNY Mellon in London.
“In the term, there will be some clear influences, but this will be under control. Comprehensive support is expected, and the bank confirms it with great experience in such matters.”
It is the first by the central bank in about two years and the first time ever that the dollar has been sold. Several decades ago, Prime Minister Benjamin Benjamin decided that a war with a Hamas militant in the Gaza Strip would be long and “difficult.”
Shekel support
The policy industry has resisted supporting the shekel even in the shadow of anonymous investors with the government's impressive efforts to cause elimination which have helped many clients. The shekel was considered one of the biggest losers this year among 31 major currencies after Bloomberg.
A program of interventions in the works more than a decade before Stanley Fisher's commitment called for a stronger shekel and helped the central bank amass reserves that have now exceeded a third of total domestic revenues. These investments amounted to approximately $203 at the end of August.
The decline in the Israeli currency came as a market reaction to the "Al-Aqsa storm" operation, which was launched by Hamas last Saturday.
Before the launch of the operation, the shekel was at its weakest level in 2023, in light of the economic pressures that Israel faces due to the government’s plan regarding judicial amendments.
