Inflation accelerates despite weak growth

ISRAEL - Report 19 Aug 2024 by Jonathan Katz

1. Economic activity disappointed in the second quarter and is being supported by government spending and private consumption (in part also due to fiscal policy).

2. Inflation accelerated in July, both services and goods, a trend that is expected to continue.

3. All eyes are on ceasefire negotiations; the outcome will have a strong impact on markets.

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