Capital Market

Despite the opening of malls and shopping malls, the retail chain industry holds the highest rate of paid leave without leave (ILS): 33% of retail chain employees are still on vacation, compared to an average of 18% in May. The highest among the economic sectors, with the lowest rate recorded in the finance and insurance sectors, where 5.2% of employees are still in the foreign currency. This data comes from a fourth Bezeq survey in May, published by the Central Bureau of Statistics, to examine the state of the business when the Corona virus spread. He has three surveys conducted by the...

S&P approved Israel's credit rating of AA minus with a stable outlook. The ranking remains true even though, according to company analysts, Israel's economy will shrink by 5.5% this year as a result of the Corona epidemic and the government deficit will be higher than 10%, increasing the debt-to-GDP ratio by almost 71%. However, according to S&P economists, the stable macroeconomic fundamentals and monetary flexibility allow Israel to absorb the "shock" as the high-tech sector estimates that the entire economy will help the economy recover from the crisis. In view of this, the rating was...

A month has passed since the easing of the closure began, but the numbers in the labor market have not yet shown recovery. At the height of the crisis, more than a million and 150,000 jobseekers were registered at the Employment Service at the end of April. The updated Employment Service figures show that since the release of the economy after the Passover began, on April 19, 2020, 94,000 new jobseekers have registered, while the number of reported to the Employment Service for returning to work or eliminating ISA stands at 86,000. Job seekers continue to grow.The Employment Service...

GDP in the Israeli economy contracted 6.8% in the first quarter of 2020 compared with the previous quarter (then a 4.6% increase in GDP). That's how the Central Bureau of Statistics (CBS) published Tuesday. This is at least the highest decline since 1995, when the bureau began to estimate GDP. The current report is an amendment to the previous CBS estimate released last month, which reported a 7.1% decline in the first quarter. CBS reporting is based on non-final national accounts data for the first quarter of the year, and due to the quality of the data obtained following the economic...

The Melnick state of the Israeli Economy Index fell by a cumulative rate of 11.7 percent in the months of ç 2020. Statistical difficulties, due to a break in the data series, and problems estimating the seasonal factors, do not allow the monthly declines of the index to be separated for the months of April and May. According to our estimate, the industrial production index and the revenue in commerce and services, seasonally adjusted, fell in April by 17.6 percent and 17.3 percent correspondingly (see note below). Imports of inputs for domestic production, which is a major component of the...

Finance Minister Israel Katz met yesterday with the chairman of the Histadrut Arnon Bar-David. The two We discussed at length the burning issues facing the economy, including 700,000 unemployed and distressed industries on the verge of collapse, including aviation and tourism. The two agreed to form joint teams to discuss the best solutions for the Israeli economy and society. The Finance Minister emphasized to the Histadrut the importance of public sector harnessing. The chairman of the Histadrut promised that the Histadrut would continue to act responsibly while maintaining the status...

The battle between El Al pilots and the company's management reached its peak: 500 employees, including 100 pilots who were still flying, were taken on leave without pay after management claimed they refused to staff flights as part of the professional struggle they were conducting. All El Al passenger flights to Paris, London and New York have been canceled and passengers transferred to other airlines such as United and Ishair, which will make flights to London and Paris. The company currently employs only 300 people, after a total of about 6,000 employees were expelled to the UAV...

After the Bank of Israel left interest rates unchanged - at 0.1%, Governor Amir Yaron recently presented the Bank's expected plans to deal with the economic crisis. During the press conference, the Governor referred, among other things, to an update of the growth forecast for 2020. Governor Prof. Amir Yaron lowers the growth forecast for 2020 to a minus 6% - compared with the previous forecast published at the end of May for a 4.5% contraction. According to the bank's forecasts, by 2021 GDP is expected to grow 7.5% - slightly higher than in the May forecast. The inflation rate in 2020 is...