Value of shekel rises following reports of potential Hezbollah ceasefire
The value of the New Israeli Shekel (NIS) has risen since reports of a near-term ceasefire with the Hezbollah terrorist organization began to circulate.
“In afternoon inter-bank trading the shekel is down 1.46% against the dollar at NIS 3.674/$ and is down 0.16% against the euro at NIS 3.849/€,” Globes reported on Monday.
The report cites Ronen Menachem, chief economist of Israel’s third-largest bank, Mizrahi-Tefahot, who attributes the rise in the shekel's value to “optimism” about the developments on the war’s northern front.
“Progress towards diplomatic arrangements on the northern front and the market's perception that the fighting in the north could be about to end brings optimism that strengthens the shekel,” Menachem said.
A joint statement from the U.S. and French governments concerning a ceasefire agreement between Israel and Hezbollah is expected to be released after 10 p.m. local time on Tuesday.
In the meantime, the IDF is carrying out a large number of strikes in Lebanon before the ceasefire becomes official.
Former Israeli Prime Minister Naftali Bennett has already criticized the expected ceasefire, arguing that “an impressive military achievement by IDF soldiers and commanders is being translated into a total security-diplomatic failure,” the Times of Israel reported.
The All Israel News Staff is a team of journalists in Israel.
