Bank of Israel: slight rise in inflation expectations

Bank of Israel data shows inflation expectations derived from the capital market for the coming year rose to 1.7%, compared to 1.6% in September, while the average expectations of financial institutions for the next 12 months rose to 2.1%, with most other indicators stable.

Data released by the Bank of Israel on Tuesday shows a slight rise in inflation expectations for the coming year. Expectations derived from the capital market rose to 1.7%, compared to 1.6% in September. The average expectations of financial institutions for the next 12 months also rose to 2.1%, up from 2% the previous month. In contrast, expectations for the second and third years remained stable at 2.1%, and for five years at 1.9%, unchanged from last month. The monthly comparison indicates a limited rise in some short-term inflation indicators, while expectations for longer periods remained stable, with no broad changes in the overall trend of the indicators.