The dollar hits a 30-year low against the Israeli new shekel, and the ceasefire agreement in Lebanon is about to take effect.

According to data from the Bank of Israel, the US dollar has dropped below 3 shekels for the first time in over thirty years, coinciding with the ceasefire agreement between Israel and Lebanon set to take effect at 5:00 PM Eastern Time. Ashkelon College economics professor and former Chief Economist of the Bank of Israel, Asher Brass, stated that this historic drop is a result of the combined effect of the weakening of the US dollar internationally and the long-term trend supporting the shekel. Brass noted that a characteristic of the Israeli economy is the influx of billions of dollars of overseas capital and exports of services and products, particularly from the high-tech industry. The high-tech industry is one of the main driving forces of the Israeli economy. He also stated, "As long as the global high-tech industry remains prosperous, it is good news for Israel." In the short term, the strengthening of the shekel against the US dollar will help alleviate Israel's inflation pressure and drive interest rates down, as imported goods priced in shekels will become cheaper. However, in the long term, a continued strengthening of the shekel may weigh on exports and put pressure on traditional industries and tourism.