Midi Shafrir, chief strategist of financial markets at Bank Hapoalim, said the June CPI showed a sharp drop in inflation, and estimated the rate will continue to decline to around 1.5% in July. According to N12, Shafrir said this trend makes a further rate cut by the Bank of Israel at its early September meeting plausible, with a 50% probability assigned.
Bank Hapoalim's chief market strategist Midi Shafrir assessed that the sharp drop in June's Consumer Price Index inflation indicates a continued cooling trend. The bank estimates July's inflation will fall to around 1.5%, down from recent levels. Shafrir noted that this trajectory makes a further rate cut by the Bank of Israel at its early September meeting increasingly likely, with a 50% probability assigned. The projection is based on the assumption that the disinflation trend will hold.
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Source and signal
- Internal intake