Bank of Israel Dials Back Interventions It Started After Attacks
- Central bank brought currency sales to an almost complete halt
- Shekel surged as US stocks rallied, Hamas war stays contained
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Israel’s central bank brought its unprecedented currency interventions to an almost complete halt in November, as the shekel rebounded in tandem with the rally in US stocks while the war against Hamas stays relatively contained.
The Bank of Israel said Thursday that it sold just $338 million in foreign exchange last month, a sharp drop from the $8.2 billion it used to defend the local currency in October. The shift in sentiment has taken some pressure off its reserves, which grew by nearly $7 billion last month to over $198 billion, largely as a result of a currency revaluation.