ILS Market Update
20 Apr 2026 • 00:33 GMT
The Israeli Shekel (ILS) has been strengthening against major currencies, reaching 90-day highs against the US dollar, euro, and yen. The USD/ILS rate has climbed to about 0.338, over 4.5% above its three-month average, reflecting the shekel’s recent gains. Similarly, ILS has risen against the euro to approximately 0.288 and against the Japanese yen to around 53.77, both at 90-day peaks.
These movements are driven by multiple factors. The Bank of Israel's surprise rate cut in early January to 4.00% has supported the shekel's strength, along with regional geopolitical developments that have improved investor confidence. Additionally, UBS’s recent forecasts pointing to a stronger shekel amid stabilizing regional risks reinforce this trend.
While the US dollar has faced some downward pressure from expected rate cuts, ongoing geopolitical tensions and rising oil prices have kept USD demand elevated. Despite this, the shekel's resilience shows growing confidence in Israel’s economic outlook. Overall, the current trend suggests continued strength in the shekel against major currencies, supported by domestic policies and regional developments.
