The shekel is a currency that is subject to mixed, rather than net negative, influences from the crisis in Ukraine. All in all, analysts at Credit Suisse lift their USD/ILS target range to 3.22-3.32.

Wobble in US equity markets makes local investors net USD/ILS buyers

“The shekel is likely to see capital inflows from Russian investors who opt to move their assets-held-abroad away from ‘sanctioning’ countries such as the UK and Germany.” 

“The Russia/Ukraine shock is unlikely to derail the central bank’s intention to raise its policy rate in the coming months.” 

“USD/ILS is expected to remain highly negatively correlated with the S&P500 due to locals’ hedging activity.”

“We have decided to set a new target range for USD/ILS of 3.22-3.32.”