Archives for February, 2011

exchange rates

Inflation and the Dollar

The dollar goes up, the dollar goes down, the dollar is a silly clown. Two months ago I wrote my famous Sledgehammer Manifesto. Stan the man is at it again. This time he is trying to break the foreign exchange rate market. As of this writing, the official exchange rate is 1 NIS=$0.274 For the past two years, the Bank of Israel has been purchasing dollars, estimated at $40B, to weaken the shekel. Having had little effect, in breaking the market with his hammer, he is now breaking out the 8 kg sledge version. With our export based economy, the exchange rate is critical. The strengthening of the shekel means that we get less for our exports, and it is harder for tourists to come...
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banks

Attias and the Investment Property

I have so much to say, and so little time to say it. I apologize for not being able to post for the past month. Clients come first with us always. CEO of Mizrahi-Tefahot Unis Two days ago Oded and I were invited to participate at Tefahot’s annual real estate conference. On the stage were the CEO of the bank, the Minister of Housing, and the Roiter, the head of the mortgage division. I was really happy to hear that Unis agrees with most of my views. If you want his take on Israel’s real estate market, opportunities and dangers, read my blog. More disappointing was to finally hear Minister Attias. Outside of not speaking proper Hebrew, he doesn’t understand economics very well. His...
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