De-escalation is deflationary

ISRAEL - Report 02 Dec 2024 by Jonathan Katz

1. The ceasefire in the North will help moderate inflationary pressure.

2. This will support monetary easing commencing in Q2 2025.

3. Recent economic indicators point to deceleration due to the escalation in the North.

4. The MPC expressed satisfaction with the fiscal framework for 2025.

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