Shares on Tel Aviv Stock Exchange tumble amid concerns over Trump tariffs

Shares on the Tel Aviv Stock Exchange plunge amid growing investor concern that the Trump administration’s new tariff policy will ignite a global trade war.

The Tel Aviv Stock Exchange’s benchmark TA-125 index drops 3.8 percent after slipping 0.4% last week. The TA-35 index of blue-chip companies is down 3.6%. The TA-90 index, which tracks the shares with the highest capitalization not included in the TA-35 index, declines almost 4.5%, and the TA-Insurance and Financial Services index dives 4.6%.

Tel Aviv shares tumble after the S&P index lost almost 6% on Friday, the biggest drop since June 2020, and the Dow Jones Industrial Average slumped 5.5%, as China announced a 34% levy on US goods, in response to President Donald Trump’s reciprocal tariffs on some 60 countries, including China.

“The tariff plan presented by Trump, which was published on Wednesday evening, led to declines on Thursday on all world markets, including Israel,” the Tel Aviv bourse says. “In addition, trading in the domestic market was characterized by volatility against the backdrop of the return to fighting in Gaza and internal political developments.”