Shares at Tel Aviv Stock Exchange hit new record highs today

Shares listed on the Tel Aviv Stock Exchange jumped and hit fresh record highs on Sunday, even as a drone launched by Yemen’s Houthi rebels evaded Israeli air defenses and smashed into the Ramon Airport terminal in southern Israel.

“Investors view the Ramon Airport [strike] as a one-time incident that will not affect the market in the coming days,” Mizrahi Tefahot Bank chief markets economist Ronen Menachem tells The Times of Israel. “Israeli shares have broken through a few records this year, but the stock market is still very volatile, reacting to geopolitical news and economic projections.

“There is also some positive sentiment ahead of inflation numbers and expectations of interest rates coming down in the coming months,” adds Menachem.

The Tel Aviv Stock Exchange’s benchmark TA-125 index gained 1.5% at the end of the trading day. Shares of Israel’s flag carrier El AL added 3.4% and smaller rival Israir was up 1.9%. The benchmark index has increased more than 30% so far this year.

The TA-35 index of blue-chip companies rose 1.2%. The TA-90 index, which tracks the shares with the highest capitalization not included in the TA-35 index, leaped 2.3%, and the TA-Cleantech index soared 2.6%