The Bank of Israel bought more than a billion dollars in June

In total, more than a billion dollars were purchased by the Bank of Israel in June. According to the bank, we are talking about “targeted intervention in order to maintain the continuity of the functioning of markets.”

Let us recall that from the previous report it became known that in May the central bank bought $800 million for the first time since 2021.

Against the backdrop of a sharp strengthening of the shekel, the Bank of Israel repeatedly received calls to intervene in the trading process to reverse the trend, but rejected them each time. The central bank emphasized that intervention in trading is a tool that can only be used to prevent speculative fluctuations and targeted disruptions in the market. The Bank of Israel does not indicate what exactly led to the intervention in May and June.

Overall, the Bank of Israel’s foreign exchange reserves rose to a record level of $238 billion, and their share of GDP reached 37.2%. Part of the increase is also due to government operations in the foreign exchange market in the amount of $625 million, as well as a revaluation of the value of the bank’s assets.