Consumer Price Index Drops 0.5%, Signaling Housing Market Shift
Translated & summarized from 0404 by baba
Israel's Consumer Price Index fell by 0.5% in September 2026, lower than market predictions. The housing market experienced a 0.6% decrease over two months, marking the longest decline in a decade. However, prices rose in sectors like fresh produce, education, and rent.
The story in 4 lines · by baba
- Israel's Consumer Price Index dropped 0.5% in September 2026, exceeding market expectations.
- The housing market saw a 0.6% decrease over two months, the longest decline in a decade.
- The annual CPI increase stood at 1.6% for the 12 months ending September 2026.
- Fresh produce prices rose 6.6%, education services 0.8%, and rent 0.4%.
Israel's Consumer Price Index (CPI) for September 2026 decreased by 0.5% compared to August, according to data released by the Central Bureau of Statistics. This figure fell below market expectations, which had predicted a more modest decline of 0.2% to 0.3%. Over the past 12 months, from September 2025 to September 2026, the CPI saw a cumulative increase of 1.6%.
Concurrently, data on the housing market, encompassing both new and resale properties, revealed a 0.6% drop over a two-month period. This marks a cumulative annual decrease of 1.8% in housing prices. This trend represents a continuous decline observed in 11 out of the last 12 months, constituting the longest downward trend in the housing market in a decade.
Conversely, price increases were noted in other sectors. Fresh produce saw a rise of 6.6%, educational services increased by 0.8%, and rental prices climbed by 0.4%.
