Economy

Tel Aviv trading closed lower as the TA-35 fell 0.81% to 4,276.22 points and the TA-90 dropped 1.42%. Equity turnover reached NIS 3.6 billion amid broad declines in real estate.

Discount Bank reviews global and Israeli economic trends, noting the Bank of Israel rate cut to 3.25%, ongoing US inflation debates, and robust high-tech export growth in June 2026.

Suez Canal revenues jumped 42% in July to $505 million as Saudi Arabia diverted oil exports and stranded ships paid to return north. Despite the rebound, earnings remain far below 2023 peaks.

European natural gas prices have surged past €70 per megawatt-hour amid supply chain disruptions and surging summer demand. Reserves stand at just 65% capacity, raising global inflationary concerns.

Israel's state deficit dropped to 3.2% of GDP at the end of August, totaling around 71 billion NIS. State revenues rose 9% to 47.9 billion NIS, driven by increased vehicle imports and consumption.

Senior financial experts compare stocks, gold, and cryptocurrency, outlining the risk-reward ratios and recommending portfolio allocations amid market volatility.

The Israel Securities Authority and the Tel Aviv Stock Exchange have formed joint teams to evaluate after-hours trading and securities tokenization as strategic projects for 2027.

Global markets trade mixed as oil prices hit a two-month high amid Middle East tensions. Meanwhile, the US-Canada trade war escalates with Canadian retaliatory tariffs, and Wall Street prepares for a key inflation report.

Dor Alon reports a suspected 40 million NIS employee embezzlement, while the Tel Aviv Stock Exchange opens mixed. Global oil prices surge as Brent crude crosses 97 USD, and markets brace for an ECB interest rate hike.

US nonfarm payrolls rose by 162,000 in August, keeping the unemployment rate at 4.1%. The robust labor market data has shifted market expectations toward a 60% chance of a Federal Reserve rate hike ahead of the September FOMC meeting.

Deutsche Bank analysts report that global bond yields have hit multi-year highs amid fiscal concerns and inflation. Investors await key U.S. inflation data and the upcoming ECB interest rate decision.

A Psagot review highlights a strong US labor market with 162,000 jobs added in August, while Israel faces a paradox of rising average wages to 15,218 NIS alongside slowing credit card consumption.

A global shortage of heavy marine fuel has triggered a 76% price surge in Singapore to $130 per barrel. Geopolitical conflicts and drone strikes on refineries have severely disrupted supply chains, driving up shipping costs.

A forecast by Eurometal warns that the EU could lose 300,000 manufacturing jobs by the end of 2026 due to Chinese competition, as China's trade surplus with the bloc reaches 1 billion euros a day.

The Tel Aviv Stock Exchange reported a 5.5% surge in the TA-90 index following the Bank of Israel's interest rate cut to 3.25%. Real estate stocks led the gains, while Bank Hapoalim raised 1.8 billion NIS in corporate debt.

Israel's Ministry of Finance reported a 3.2% GDP growth and a historic 78% surge in foreign investment to $26 billion. Inflation dropped to 1.5% while unemployment remained exceptionally low at 3.3%.

Ukraine has intensified long-range drone strikes targeting Russia's energy, agriculture, e-commerce, banking, and aviation sectors, causing billions in damages and a 24% drop in oil refining capacity.

Goldman Sachs projects oil prices could reach $120 per barrel if shipping attacks escalate in the Strait of Hormuz. Analysts recommend hedging geopolitical risks with long positions in natural gas and refined products.

US stock markets are closed on September 7, 2026, for Labor Day. Meanwhile, Nasdaq announced the launch of an overnight trading session starting December 6, 2026, moving closer to a 23-hour daily schedule.

The shekel remains stable with the US dollar trading above 3.01 shekels during thin holiday trading. Bank Hapoalim economists project global rate hikes and expect the Bank of Israel to pause its rate cuts.

Chief Economist Dr. Ilan Gildin analyzes the resilience of the Israeli shekel amid interest rate cuts, highlighting institutional hedging flows and identifying key opportunities in dollar-revenue equities.

Idan Azoulay of Sigma Clarity argues that the AI rally is not a classic bubble, advising investors to target physical infrastructure. Meanwhile, he urges caution in Israeli bonds and real estate.

U.S. Treasury yields have surged to two-decade highs, raising borrowing costs for corporations and households. Major foreign buyers, including Japan and China, are scaling back their debt purchases, signaling a structural shift in global financial markets.

U.S. Treasury yields have surged to multi-year highs amid strong labor data and geopolitical tensions. Wall Street analysts warn of stagflation risks, the end of cheap money, and high vulnerability for overvalued tech stocks like Tesla.

The Israeli mutual fund industry reached a record NIS 853 billion in assets under management. Driven by market rallies and high interest rates, money market funds surged by 914% over the past five and a half years.

GitLab shares surged 34.9% in August as AI disruption fears eased. The software firm beat fiscal Q2 expectations with $286.3 million in revenue and a 16% increase in remaining performance obligations.

Israel's mutual fund industry hit a record 853 billion NIS in assets, growing 143% since 2021. The surge was driven by strong stock market gains and massive inflows into money market funds amid high interest rates.

Israel's largest non-banking exchange member Meitav Trade suffered a display glitch showing zero balances on client accounts. The company confirmed that no assets were affected and the system has returned to normal operations.

An Israel Securities Authority study reveals Friday trading volumes reached 2.6 billion NIS, doubling previous Sunday figures. Foreign investor participation surged 2.5-fold.

Lululemon shares, the largest holding in Michael Burry's portfolio, crashed 17% following weak Q2 guidance. Despite rising competition from Alo Yoga, Burry plans to buy more shares if the price drops below $100.

A weekly economic review by Mizrahi Tefahot Bank highlights a 5.3% surge in Israeli high-tech exports alongside a slowdown in average wage growth to 3.5%, easing inflation concerns for central banks.

US CD sales revenue jumped 58% to $171.1 million in the first half of 2026, driven by Gen Z interest in physical media. Vinyl records still dominate the market, generating $554 million.

The US labor market strengthened significantly in August, adding 162,000 non-farm jobs, well above economists' forecasts. The unemployment rate remained steady at 4.1%.

The flagship indices closed with gains led by energy and technology stocks, with one company standing out in particular and leaving the rest of the market behind with an impressive jump of over 7 percent.

American drivers are facing record-breaking diesel prices as the war between the US and Israel against Iran continues to strain household budgets. The average price per gallon has reached $5.85, significantly higher than last year's average.

Managers of the Norwegian sovereign wealth fund, which manages assets worth $2.3 trillion, are proposing to reduce US government bond holdings by $80 billion. The move aims to diversify the fund's sources of returns.

The fortune of the Tesla founder shows a significant increase this week, placing him in a league of his own, while Forbes' weekly list of the world's richest people reveals tight competition for the following spots.

After conflicts in the Middle East and Russia pushed refining margins to a record high and affected gas stations, Julius Baer bank reveals a surprising forecast regarding the future of fuel prices in the near term.

The sports and leisure fashion brand has significantly lowered its forecasts for the rest of the year and is showing a sharp decline in revenue, as young brands that manage to attract the younger audience are strengthening.

The dollar has fallen to 3.00 shekels, while the euro dropped to 3.49 shekels. Markets are awaiting US employment data, with forecasts of 55,000 new jobs and an unemployment rate of 4.1%.