Shekel Weakens as Bank of Israel Buys Dollars to Support Growth
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The Bank of Israel bought U.S. dollars for the first time this month in a bid to prevent shekel appreciation from undermining growth, traders said. The currency fell for a third time in seven days.
The central bank bought “small amounts” of dollars, said Tom Gerszbejn, a currency trader at Union Bank of Israel Ltd. in Tel Aviv. Rony Gitlin, head of spot trading for Bank Leumi Le-Israel, estimated the purchase at less than $100 million. The bank has continued to intervene since it bought dollars on April 8 for the first time in almost two years as the shekel rose to an 18-month high of 3.5898 a dollar.