TASE closes on encouraging high
Unexpected decision by Bank of Israel to lower interest rate by 0.5% propelled stock rates – Real Estate Index up by 19%, TA-25 gains 3.9%
Bank of Israel Governor Stanley Fischer stoked a cautious optimism in Israel's economic sector on Tuesday with his unanticipated decision to lower the interest rate by 0.5% to 3.75% - a move which sent dismal stock rates soaring.
The truncated trading week, cut short due to Yom Kippur, ended on an encouraging high note after several morose days at the Tel Aviv Stock Exchange.
The most surprising recovery was marked by the Real Estate Index - which gained 19%, reaching 259 points.
The TA-25 rose 3.9% to 798 points, the TA-100 rose 4.6% to 716 points, and the Tel-Tech rose 6.8% to 170 points.
Foreign currency trade also closed on a positive note. The US dollar gained 1.097% and its exchange rate was set at NIS 3.503. The euro rose 1.027% and its rate was set at 4.7704.
