Shekel Falters During Local Holiday

Spot USD/ILS moves higher again, with a recovery in the BBDXY index facilitating the latest leg higher. The pair last deals at 3.7155, up 326 pips on the session, with bulls looking for a break above Jun 30 high of 3.7308, which would clear the way to Jun 2 high of 3.7551. Conversely, bears keep an eye on the 200-DMA at 3.5683.

• Globes ran a report challenging the government's claims surrounding Intel's $25bn investment in Israel. The media outlet notes that the investment would not involve building a new factory, but upgrading one that is already under construction. Furthermore, Globes said that an agreement which would make Intel pay a higher tax rate (7.5% rather than 5%) in exchange for a grant worth over $3bn is at an early stage and has not been finalised.
• Ynet reports that the recent adoption of the "reasonableness" bill in Israel may delay discussions of the date for Prime Minister Benjamin Netanyahu's meeting with US President Joe Biden by several weeks. US officials told Ynet that the White House "does not trust" Netanyahu since the Prime Minister breached a promise to seek broad consensus on his judicial overhaul.
• Israel observes a public holiday today.