Weekly Review: July 4-8, 2010

In keeping with the trend in securities markets around the world, trading on the Tel Aviv Stock Exchange (TASE) during the first week of July was marked by high volatility and price gains in all leading indices.
The TA-25 which increased 2.7% over this week is now 4.8% lower than its level at the beginning of the year, following an increase of 75% during 2009.The TA-100 which raised the same this week is 4.9% lower than its level at the beginning of the year, following its sharp increase of 89% in 2009.

Most of TASE indices increased this week: The Tel-Tech 15 rose by 1.4%. The Finance index and Estate-15 stood out this week with an increase of 4.5% and 2.4%, respectively.
In corporate bond issues, the companies raised US $160 million from the start of July and US $5.5 billion totaled from the start of 2010, compared with US $9.3 billion in all 2009. The Israeli treasury raised US $220 million this week in a local government bond issue, bringing the 2010 total to US $7.5 billion, after total of $ 17.4 billion raised in the entire 2009.
The Bank of Israel announces that the interest rate for July 2010 will remain unchanged consecutive for 4 month at 1.5%.
According to the Bank of Israel, in May 2010, foreign investors injected US$ 900 million in treasury bills, while down-sized their investments in equity market by a net US $790 million. This trend began in February this year, resultant to the classification of Israel as "developed market" in the MSCI indices in May 26.