Market Report / Modest Losses for Tel Aviv Stocks in Mixed Trading

In Europe, shares record biggest two-day gain since April.

The Tel Aviv Stock Exchange finished Wednesday's trading session mixed. Shares started the day in positive territory, swept upward by positive winds from Europe and gains on Wall Street the night before, but ultimately some major indexes dipped below the flatline before closing.

The blue-chip Tel Aviv-25 Index lost 0.2% to close at 1,194 points, while the broader benchmark Tel Aviv-100 Index gained 0.1% to close at 1,071 points.

The Banks-5 gained 0.1% and the Real Estate-15 lost 0.3%. The index of biomed shares gained 2.5%.

Total turnover was NIS 1.2 billion, slightly above the average for the week.

In Europe, shares Wednesday recorded their biggest two-day gain since April, as reassuring central bank comments eased concerns about any imminent tightening in monetary policy.

The FTSEurofirst 300 index provisionally closed up 1.7% at 1,14.33 points, building on the previous day's 1.5% rise and rebounding after a month-long selloff on concern that U.S. stimulus was set to be wound down and that China was facing a credit crisis.

Earlier in the day, exchanges in Asia had closed with losses.

As Tel Aviv closed, Wall Street opened with gains.

In Israel, most of the attention was on Israel Corp., controlled by Idan Ofer. It announced Wednesday morning that it intends to split into two companies and will not be making new investments. Israel Corp. shares gained 8.3% on some NIS 107 million in turnover.

Mellanox closed up 11.5% on speculation that it will be partnering with Microsoft to build a new server farm.

Nova Measuring Instruments was up 3.9% on news that it had received a significant order for multiple software licenses of its NovaMARS 3D-modeling program.

Biomed company Pluristem Therapeutics gained 8.7% after announcing it entered a licensing partnership with Cha Bio & Diostech for the use of Pluristem's cells to treat peripheral artery disease in South Korea.

Telecom company Allot Communications closed up 8.4% after announcing several big orders.

BSP Biological Signal Processing shot up 187% on massive turnover, after announcing that it had received a U.S. patent for its technology.

With reporting by Reuters. 

Bloomberg