TEL AVIV, Israel (TheStreet) -- While many assume that the short-term impact of the turmoil in Egypt on Israel is likely to be minor -- whether President Hosni Mubarak remains in power or whether the country eventually goes through a regime change following a civilian uprising -- concerns of a domino effect loom.
Investors in Israel's stock market continue to anxiously monitor the political unrest in Egypt, its bordering neighbor to the south and a country with which it has had a frosty peace relationship for the past 30 years.
The Israeli stock market has had an incredible run during the past two years, rising 88% and 15% in 2009 and 2010, respectively, fueled by robust economic fundamentals, a stable and capital-rich banking system and high productivity rates.
Recent discoveries of large offshore natural gas deposits in Israeli territorial waters also have supported the upward momentum of the market. Still, geopolitical tensions remain a major obstacle.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV