We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bullish
GBP/USD
Mixed
USD/JPY
Mixed
Gold
Mixed
Oil - US Crude
Mixed
Bitcoin
Mixed
More View more
Real Time News
  • 🇬🇧 GBP RICS House Price Balance (NOV), Actual: -12.0% Expected: -5.0% Previous: -6.0% https://www.dailyfx.com/economic-calendar#2019-12-12
  • 🇦🇺 AUD Consumer Inflation Expectation (DEC), Actual: 4.0% Expected: N/A Previous: 4.0% https://www.dailyfx.com/economic-calendar#2019-12-12
  • 🇬🇧 GBP RICS House Price Balance (NOV), Actual: -12 Expected: -5.0% Previous: -5.0% https://www.dailyfx.com/economic-calendar#2019-12-12
  • 🇯🇵 JPY Machine Orders (YoY) (OCT), Actual: -6.1% Expected: -1.9% Previous: 5.1% https://www.dailyfx.com/economic-calendar#2019-12-11
  • Heads Up:🇬🇧 GBP RICS House Price Balance (NOV) due at 00:01 GMT (15min), Actual: N/A Expected: -5.0% Previous: -5.0% https://www.dailyfx.com/economic-calendar#2019-12-12
  • Heads up: UK’s RICS House Price Balance (NOV) is due at 0:01 GMT (15 min) Est: -5.0% Previous: -5.0% #GBP
  • Heads Up:🇦🇺 AUD Consumer Inflation Expectation (DEC) due at 00:00 GMT (15min), Actual: N/A Expected: N/A Previous: 4.0% https://www.dailyfx.com/economic-calendar#2019-12-12
  • Heads Up:🇯🇵 JPY Machine Orders (YoY) (OCT) due at 23:50 GMT (15min), Actual: N/A Expected: -1.7% Previous: 5.1% https://www.dailyfx.com/economic-calendar#2019-12-11
  • Heads up: Japan’s Machine Orders (YoY) (OCT) is due at 23:50 GMT (15 min) Est: -1.7% Previous: 5.1% #JPY
  • The $USD may fall against the Japanese Yen as bearish technical positioning plays out. The Nikkei 225 stock index could follow suit. Get your market update from @IlyaSpivak here:https://t.co/FeaxCvsjH2 https://t.co/jqPGFJeA8i
Israel’s Leading Indicator Rises as USD/ILS Pressures Trend Line

Israel’s Leading Indicator Rises as USD/ILS Pressures Trend Line

2014-12-23 19:19:00
Jeremy Wagner, CEWA-M, Kara Dailey,
Share:

Talking Points:

  • Composite State of the Economy Index increases 1.0% in November
  • Unemployment stands at 5.6%, down 0.1 pp from October
  • Terms of Trade Index increases 1.0%

Noting a moderate recovery in economic activity following operation protective edge, the Bank of Israel held interest rates at 0.25% during their November meeting. Indicators that have since become available—composite index, labor force survey, and foreign trade position—have reflected continued economic improvement ahead of next week’s rate decision.

Israel’s Composite State of the Economy Index increased 1.0% in November, indicating forward movement in real economic activity. The cyclical indicator was positively impacted by an increase in the number of job vacancies (+2.81%) and hindered from further improvement by a decline in the value of goods (-3.3%) and services (-1.9%) exported.

Labor market conditions improved, with unemployment down to 5.6% in November after measuring 5.7% in the month prior. The number of labor force participants was 3.822 million; 3.067 million were employed while 215,000 remained unemployed. This equates to a 0.4 pp increase in the labor force participation rate among those workers aged 15 and older and a 0.6 pp increase among those aged 25-64. Among the latter age group unemployment remained the same at 4.8%.

While a fall in import prices hindered the economic outlook, the overall terms of trade index still increased by 1.0% in the third quarter (exc. ships, aircraft, fuels and diamonds). With these exclusions intact, import price indices decreased by 0.9% in Q3, while the export price indices remained unchanged.

The USDILS is pressuring the trend line that has held this strong uptrend for the past 5 months. Emerging markets in general, will still have a lot to process if the Fed continues along its path to hike rates in the US. That will keep the pressure longer term on driving the USDILS exchange rate higher. A break outside of the pink trading range will indicate the near term trend. A break above 3.95 would suggest the US Dollar will continue its trend. A move below 3.88 suggests the trend is likely to pause and correct this large move.

USD/ILS Daily Chart

dailyfx US dollar Israeli sheqel .

Chart Created by Jeremy Wagner

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.