Inflation & Prices
Israel’s Inflation Letup to Support Rate Pause as Economy Stalls
- Price growth slowed more than forecast to near target range
- Central bank paused rate hike after record monetary tightening
Customers shop at a fruit and vegetable store in Tel Aviv, Israel.
Photographer: Corinna Kern/BloombergThis article is for subscribers only.
Israel’s economic growth stagnated and inflation slowed more than expected to almost within the government’s target range, making it more likely that the central bank will look past a weak shekel and keep interest rates on pause during a meeting in September.
Gross domestic product expanded a seasonally adjusted, annualized 3% in the second quarter, from a downwardly revised gain of 2.9% in the prior three months, according to data published on Wednesday.