The Tel Aviv Stock Exchange (TASE) rose to a record today. The Tel Aviv 25 Index rose 0.37% in to an all-time high of 1238 points, just above the previous record reached in November 2007. The index has climbed 110% from its recent low ebb of 592 points in November 2008.
The TASE has easily outperformed others stock markets over the past year. The Dow Jones has risen 67.6% from its low point last year, NASDAQ 91.5%, the FTSE 64.5%, the DAX 70.5%, the Nikkei 59.9%, and the Hang Seng 95.5%. Only Russia's MICEX, which has risen 191.6% from its recent low point in October 2008 and India's SENSEX 30, which has risen 112.3% have outperformed the Israeli market in wake of the global economic crisis.
The TASE got a boost from international markets. In the wake of the latest macroeconomic figures in the US, including the strongest job numbers in three years and a rise in the Purchasing Managers Index for March, Wall Street indices rose by up to 0.5% yesterday, to reach an 18-month high.
On the domestic front, investors are celebrating the TASE's record and are preparing for the TASE to join the MSCI Developed Markets list on May 27. Investors anticipate capital inflows from passive investors (those tracking indices) as well as divestment by active capital (such as hedge funds and mutual funds), a trend that has already been felt on the market since the beginning of the year.
The Bank of Israel reported earlier this week that foreign investors sold a net $450 million in TASE-listed shares in February, after buying a net $1.75 billion in 2009.
Published by Globes [online], Israel business news - www.globes-online.com - on April 6, 2010
© Copyright of Globes Publisher Itonut (1983) Ltd. 2010