The Bank of Israel purchased hundreds of millions of dollars: the american currency strengthen to NIS 3,252

The Bank of Israel purchased hundreds of millions of dollars yesterday, after yesterday the representative exchange rate of the dollar was set at NIS 3,248. In response, the dollar today strengthened to NIS 3,252.
According to estimates, the Bank of Israel made purchases of about $ 350 million last night. Despite the slight strengthening, the dollar is still not far from the low it reached on July 9, 2008, when the representative rate was set at NIS 3.23. The last time before 2008 when the dollar traded at such levels was about 23 years ago.
One of the reasons for the weakening dollar is optimism about a global economic recovery due to the corona vaccine. Other reasons are the fiscal and monetary policy of the US administration and the expectation of another package of incentives by the US administration.
Meanwhile, the euro continues to strengthen - rising by NIS 3,947. Since the beginning of the year, the euro has strengthened against the shekel by about 2%. Overall, in 2020 the shekel strengthened by almost 5% against the currency basket of the Israel Trade Partnership.