: Bank of Israel to sell up to $30 billion in foreign exchange as shekel tumbles

Israel’s central bank said it will sell up to $30 billion in foreign exchange to support the shekel, which has tumbled in the wake of Hamas’s surprise attack on the country.

“The Bank will operate in the market during the coming period in order to moderate volatility in the shekel exchange rate and to provide the necessary liquidity for the continued proper functioning of the markets,” the Bank of Israel said in a statement on its website on Monday.

In addition to the $30 billion, the Bank of Israel said it would provide liquidity to the market via swap mechanisms of up to $15 billion.

The shekel USDILS, +1.36% was down 1.2% on Monday to 3.9011 U.S. dollars, its weakest in seven years.

Israel stepped up its bombing of the Gaza Strip on Monday after declaring war following the attack on Saturday morning. At least 700 people have reportedly died in Israel and more than 400 in Gaza since the outbreak of fresh violence in the region.