Tel Aviv Stock Exchange Awaits New Week Amid Iran Tensions and Oil Price Surge

The Tel Aviv Stock Exchange is preparing for a new trading week, which will be partial due to the Jewish fast day Tisha B'Av on Thursday, when no trading will occur. The market is closely watching developments following nine consecutive nights of U.S. airstrikes in Iran, which have driven Brent crude oil prices up by 2.5% to $90.3 per barrel and WTI by 2.3% to $84.4 per barrel. These increases could boost local oil and gas stocks. The U.S. Central Command stated that the strikes aim to degrade Iran's military capabilities used to attack commercial and civilian maritime vessels in the Strait of Hormuz. Investors hope for no further escalation or renewed conflict involving Israel.

Bond yields remain stable, with the 10-year U.S. Treasury yield at 4.55% and Israel's 10-year bond yield at 3.82%. In corporate news, Isracard has decided not to proceed with acquiring Nir Tsuk's digital bank esh after months of negotiations and due diligence, announcing that the memorandum of understanding expired without extension or binding agreements.

Regarding the Haifa Bay industrial zone, five years after an interministerial team recommended relocating the Bazan oil refinery, the Israeli government is reconsidering the plan. A government decision in 2022 set 2029 as the target date for Bazan's evacuation, but a new team has been formed to reassess the situation over the next six months. Officials noted that since the original decision, a war has broken out, prompting the reevaluation.