No cut in sight with risks still elevated

ISRAEL - Report 26 Aug 2024 by Jonathan Katz

1. Renewed optimism regarding a possible ceasefire and Israel’s successful operation in Lebanon supported markets yesterday.

2. The labor market continues to tighten, supportive of wage/inflationary pressure.

3. We expect a more hawkish tone (as well as a rate-hold decision) this week, stressing the importance of maintaining fiscal responsibility.

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