Israeli Airline Stocks Soar Amid Reports of Hijacking Attempt

Shares of Israeli airlines El Al and Israir experienced significant gains on the Tel Aviv Stock Exchange on Wednesday, following a dramatic incident involving an Israeli flight from Dubai. The stock surge intensified as reports emerged suggesting the morning's event was a foiled hijacking attempt.

El Al's stock climbed approximately 7.5%, while Israir saw an increase of nearly 5%. The trading day on the Tel Aviv Stock Exchange began with modest gains for aviation stocks, but as rumors of a potential hijacking attempt circulated, investor confidence in local airlines, perceived as particularly secure, bolstered the upward trend.

In parallel, the index for defense companies rose by nearly 1%. Smart Shooter, a company specializing in weapon control systems, saw its stock jump by about 22%. This surge followed the announcement of a contract potentially worth up to $150 million with the U.S. Army. Smart Shooter develops fire control systems that integrate with light weapons, enhancing a soldier's ability to identify, track, and engage moving targets, including drones. The system utilizes image processing and algorithms to track targets and optimize firing timing for higher hit probability, while the soldier remains in control of the weapon.