Shares on the Tel Aviv Stock Exchange slip amid investor uncertainty over an emerging peace deal between the US and Iran, the day after Tehran and Jerusalem said they were halting strikes after a number of hours of direct conflict.
The Tel Aviv Stock Exchange’s benchmark TA-125 index drops 0.7 percent around midday trading. The benchmark index has gained almost 16% so far this year, fueled by optimism for an end of hostilities in the region and an improved geopolitical environment.
The TA-35 index of blue-chip companies is down 0.8%. The TA-Insurance index dips 2% and the TA-Oil and Gas Index falls 1.4%.
“Less than 24 hours ago, Iran still fired missiles at Israel, and while both sides announced on Monday they would halt attacks for now, the market is looking for clarity over a peace deal pursued by Washington,” Mizrahi Tefahot Bank chief markets economist Ronen Menahem tells The Times of Israel. “There is still a lot of volatility around the geopolitical situation, as it is not clear if a US-Iran deal remains within reach in the coming days, and whether Israel’s interests will be served.”
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