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Economy · Impact 2 Notable

Israel's stock market drops over 2% as exit polls show no clear election winner

· Tel Aviv, Israel · single source so far

The benchmark Tel Aviv 125 index fell more than 2 percent amid uncertainty over who will lead the next government.

Location
Tel Aviv, Israel · Israel live map
Coordinates
32.09°N 34.78°E
Reported
28 Oct 2026, 09:55 UTC
Category
Economy
Impact
2 of 5 · Notable
Situation
Israel politics

Israel politics right now

■ Steady

Israel's election ends in deadlock, with no clear winner and Arab parties pivotal

Israelis voted on Tuesday in the highest numbers in decades, and early counting and exit polls showed no clear winner. On Wednesday Netanyahu called for a right-wing government while Eisenkot said voters had rejected him, and Israel's stock market fell more than 2 percent. Official results are due on November 4. President Herzog must then choose who to tap to form a government.

  • Likud is the largest single party and Netanyahu's bloc edges past the opposition, but neither main bloc appears to have a majority without Arab parties.
  • Exit polls projected up to 18 seats for the Arab bloc after record turnout. Netanyahu called a coalition with Arab parties 'a disgrace and a shame'.
  • Netanyahu and Smotrich made provocative statements about Arab voters. On election day Netanyahu accused Arab citizens of trying to 'steal the elections'.
  • Polls show Ben-Gvir's Otzma Yehudit lost seats. The Tel Aviv 125 index fell more than 2 percent amid uncertainty over who will lead.
Updated 28 Oct 2026, 11:20 UTC · Written by Claude from the reports on this page and on the map. Check the linked sources for full details.

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