Market report / Israeli stocks rebound on global rally
Israeli shares gain 1.5% to 2%, which would be more impressive if not compared with the 5% leap by Germany's benchmark DAX index, the 4.3% northward bounce by French stocks and the 3% gains in Madrid and London.
Israeli stocks rebounded Wednesday together with a powerful rally in world markets, fueled by nothing in particular. Markets worldwide, including Tel Aviv's, have been characterized by violent reactions of late. Yesterday, Israeli shares gained 1.5% to 2%, which would be more impressive if not compared with the 5% leap by Germany's benchmark DAX index, the 4.3% northward bounce by French stocks and the 3% gains in Madrid and London.
"Today's gains were mainly because of the gains on Nasdaq the night before," said Yossi Efrati, chief investments officer at ILD Insurance.
But he thinks equities are still trending downward. "A market heading down doesn't drop every day," he observed. It has good days and bad ones. Yesterday was a good one.
The Israeli session was characterized yet again by sharp fluctuations, but the leading indexes stayed above the flatline throughout. The only loser on the TA-25 index yesterday was Makhteshim-Agan, which finished a hair below zero.
Bank stocks, which had taken a beating - losing as much as 9% on Wednesday - also ended with gains, but slim ones. Hapoalim, for instance, advanced by less than 0.1%, while Leumi, the biggest by market capitalization, added 1%.
The benchmark TA-25 index gained 1.7% to 1,039 points, the broader TA-100 index rose 1.7% to 940 points, and the TA-Oil & Gas index gained 4.7%, boosted in part by Ratio's 6% advance. Total turnover was slim at NIS 1.5 billion.
Yesterday's biggest gainer was IDB group company Koor Industries, which leaped 8.4%, followed by EZchip with a gain of 7.2%. Dual-listed tech company Radvision lowered its revenue forecasts for the third quarter by 10%, to $17 million-$17.5 million, and was rewarded for its candor with a 10% drop in its stock.