The benchmark gauge of Israeli stocks, the TA-25 benchmark index has increased to its highest value within the last 3 weeks. Concerns over the composition of the new Israeli Government have now faded as the Prime Minister Benjamin Netanyahu, reportedly, is close to form a coalition. This news has helped the Israeli stocks positive way. The benchmark gauge has increased by 0.9% on today and is currently at 1237.28, its highest value since 20th February. In 2013, till date, the index has increased by 4.4%, however, this is lower than the increase of MSCI World Index, that of 6.7%. On the other hand, the yield on the 4.25% bonds of the Israeli bonds has gained 6 basis points and is currently at 3.99%. Incidentally, this marks its highest value since 29th January. Among the companies, Elbit Systems & Mellanox Technologies were the leaders in the stock market.
The Departmental Head of Internal Sales of Psagot Investment, Zach Herzog, stated that the investors are pretty optimistic at this point of time after experiencing the uncertainty over the last 2 months. Most were concerned over the form the new Government would take, however, they are pretty much relieved now.
Benjamin Netanyahu, the current Prime Minister convened the current Cabinet for probably the last meeting in Jerusalem on today. Talks are currently on regarding formation of a new ruling Coalition Government and it is reportedly, at its final stage right now. Likud Party, led by Benjamin Netanyahu, incidentally, has the most seats in the parliament, as far as the January election results are concerned. Benjamin Netanyahu has time till 16th March to form the new Government.
Incidentally, there was lots of uncertainty over formation of new Government until leader of the 2nd placed party, Yair Lapid, agreed to take the post of the next Finance Minister. Incidentally, the party led by Yair is named as Yesh Atid. The news was announced by Yael German, Yair’s Parliament compatriot. Naftali Bennett is all set to become the next Minister of Industry, Trade & Labor. Incidentally, Naftali leads Jewish Home party, which won 12 seats in recently concluded elections. The news was published in the daily Haaretz; however no sources were mentioned in the news report. No confirmation on the appointments has been given so far; however, the picture is expected to clear within this week.