Israel Economic Sentiment May 2019

Israel: Consumer and business sentiment decline in May

Confidence among Israeli households worsened from minus 7 in April to minus 9 in May. The downturn in sentiment was driven by a less upbeat outlook regarding the general economy and the labor market. Sentiment regarding the probability of saving was unchanged, while households grew more optimistic regarding their personal finances.

Meanwhile, business sentiment inched down to 25 in May from 26 in April, but remained elevated, likely supported by low borrowing costs and strong growth momentum. Political gridlock and an escalation of global trade tensions could have had a part to play in May’s decline in consumer and business sentiment.

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