The English Haaretz in a translation of an article in its partner Hebrew business newspaper the Marker noted the following with regard to the record high. Israeli stock market.
With bond yields tiny, global stock markets climbing and the Israeli economy solid, why wouldn’t shares shine?
- Complex regulations
- Low Level of activity. While it may sound counterintuitive to some all markets need a significant number of short term traders to provide liquidity and thus ease of execution by long and short term participants. The decline in volume from domestic speculators is related to the boom in speculative activity in real estate.
|Left chart number of companies issuing on Israeli capital markets (blue stocks grey bonds) center chart % if companies issuing securities outside Israel (gold) inside Israel (blue) right chart number of companies trading on Israeli market|