The shekel-dollar rate hit the 3.60 level Wednesday, virtually wiping out its loss following Bank of Israel Governor Prof. Stanley Fischer's decision last week to cut the lending rate to banks by half a percent. The move resulted in the dollar trading as high as 3.66 shekels, the highest in weeks.
However, the worsening state of the dollar on world markets, the sagging American economy and forecasts that Israel's economy can weather the growing economic storm have contributed to the shekel's renewed strength against the dollar.