Bank of Israel Governor Stanley Fischer, who last week unexpectedly cut the benchmark interest rate to a three-year low, may not be done yet, according to Jonathan Katz, an economist at HSBC Holdings Plc.
The shekel weakened the most in more than four months after the Bank of Israel’s surprise interest rate cut and vow to buy as much as $2.1 billion in 2013 to curb the currency’s appreciation. Stocks rose the most in two months.
Bank of Israel Governor Stanley Fischer celebrated the reconstruction of a South American synagogue transported to Jerusalem, giving tours in December to admiring donors. Yesterday it was Fischer who received plaudits for rebuilding, in this case the central bank and the economy it oversees.
During his two decades at MIT, Stanley Fischer helped educate both the future heads of the Federal Reserve and the European Central Bank. As Israel’s central bank chief, he’s steering toward the U.S. model.
One in four hedge funds is already clearing over-the-counter derivative trades, up from none in October, before new rules require changes later this year to the $583 trillion market, according to analysts at UBS AG.