Tel Aviv Stock Exchange Ends Week Lower Amid Rising US Bond Yields

The Tel Aviv Stock Exchange concluded a shortened trading week with significant declines, as the TA-35 index fell by 1.3% and the TA-125 index dropped 1.4% on the final day of trading before the Sukkot holiday. The decline was particularly pronounced in the renewable energy sector, with the TA-CleanTech index plummeting 3.5%. This downturn is attributed to rising yields on U.S. bonds, which signal potentially higher financing costs for renewable energy companies that rely heavily on debt for project development. Notable decliners in this sector included Nofar Energy, which lost 6.7%, Doral, down 4.4%, and Enlight, which shed 5.1%.

Despite the broad market downturn, some companies saw individual gains. SuperCom surged 25% on high trading volume after receiving regulatory approval in China to market its wrinkle-improvement device. Rafa Laboratories jumped 6% following a new deal, and Elbit Imaging also experienced a significant drop of 11.2%.

For the week, the TA-35 index weakened by 1.1% and the TA-125 by 1.5%. The banking sector saw a 2.4% weekly decline, while oil and gas stocks fell 4.1%. In contrast, Nice saw a weekly gain of 7.5%, leading the TA-35, while Enlight Energy was the biggest loser in the index, dropping 8.3% for the week.

Other notable company news included Elbit Imaging's 11.2% drop and Elco's 5.6% loss. Top Gum, a manufacturer of gummy supplements, announced it has moved most of its production to its new factory in Sderot and filed a revised claim for 189 million shekels in damages from the Iron Swords War. Afi Capital Real Estate reported the sale of land in Ra'anana for 193.5 million shekels, which is expected to generate a pre-tax profit of 4 million shekels.

Trading will be shortened next week during the intermediate days of Sukkot, closing at 2:30 PM. U.S. markets also closed lower, with the Dow Jones, S&P 500, and Nasdaq all experiencing declines.