Capital Market

Israel’s housing price index rose an unexpected 0.7% in October–November, ending eight consecutive months of decline, according to data released by the Israel Central Bureau of Statistics (CBS). On an annual basis, however, price growth remained muted. From November 2024 to November 2025, the housing price index edged up just 0.1%, underscoring continued weakness in the broader market

The State Commission of Inquiry into the Submarine Affair, headed by former Supreme Court President Asher Grunis, published its interim findings on Sunday, identifying deep systemic deficiencies in Israel’s defense procurement and security decision-making processes

The government’s economic policy had produced “great” results. Still, new data published by the National Insurance Institute (NII) paints a more troubling picture. Poverty in Israel rose in 2024, particularly among children, and preliminary estimates indicate a further deterioration in 2025. Inequality also increased for the first time in four years

Economists at JPMorgan have sharply revised their outlook for the Israeli economy, presenting a significantly more cautious assessment amid the ongoing war and rising fiscal pressures

Fitch Ratings on Friday affirmed Israel’s sovereign credit rating at ‘A’ with a negative outlook, maintaining its previous assessment despite ongoing conflict and fiscal pressures. The agency said the rating reflects a balance between Israel’s “diversified and resilient economy” and high-value-added sectors, against a backdrop of rising public debt, persistent security risks and political instability that has complicated policymaking

Israel’s parliament, the Knesset, approved the 2026 state budget late Sunday night, just ahead of a critical deadline, following a prolonged and contentious session. The budget passed by a vote of 62 to 55. The accompanying Economic Arrangements Law was approved by the same margin, while an amendment to the Income Tax Ordinance passed 61-52

Fuel prices in Israel will rise sharply at midnight between Tuesday and Wednesday, with the maximum price of 95 octane unleaded gasoline at self-service stations set at 8.05 shekels per liter, including VAT

S&P Global Ratings on Friday reaffirmed Israel’s sovereign credit rating at A and maintained a stable outlook, marking the agency’s first rating decision since the second phase of the direct conflict with Iran began on February 28. The decision was based on the continuation of ceasefire arrangements with both Iran and Hamas, alongside the assumption that future military operations will remain “episodic and limited” in scale

U.S. President Donald Trump said that Turkish President Recep Tayyip Erdoğan was among the regional leaders who could have become directly involved in the recent conflict with Iran, but ultimately chose not to do so following discussions with Washington

The Bank of Israel has lowered its benchmark interest rate by 25 basis points, reducing it from 3.75% to 3.50%, as easing inflation and improving macroeconomic conditions provide policymakers with greater room to support economic growth. The move marks the second consecutive rate cut and brings the policy rate to its lowest level since early 2023