Tel Aviv stocks closed with 1% losses on a dead market, after starting the Sunday session with a dip. Market players blame the losses on Nasdaq's steep 4.4% drop on Friday. Turnover was scanty, to be polite about it, at NIS 178 million as investors wait for prime ministerial elections on Tuesday.
The Maof-25 blue chip index closed down 1% at 452.37 points after peak noon losses of 2%. The TA-100 index lost 1.1% to 440 points. The Tel-Tech technology index closed down 2.15%.
Investors said that the low volume and their reluctance to trade is due to pre-elections concern. The fact is, they prefer to wait for the dust to settle on the future political developments.
The Bezeq phone company was the liveliest stock on the floor, losing 2.9% on volume of NIS 38 million. Bezeq has been losing ground as analysts surmise that its privatization will be hindered by the shaky security situation in Israel. The fact that Ofek The New World of the Eurocom group received a license to compete with Bezeq last week certainly isn't helping. Bezeq is a monopoly in the domestic arena. Nor will this change soon. Ofek says it will be ready to roll only in about nine months.
Active market sources said that Bezeq sellers are local institutional investors, and that the buyers are most likely foreign players.
Mashov Computers climbed 9.6% in NIS 5 million after announcing that it will be handing out, as dividends to its shareholders, its 30 % stake in Magic Software (Nasdaq:MGIC) and its recently acquired 85% stake in Makor Haformaika. Mashov bought makor for the purpose of infusing its activity with Sivan computer and software training Group.
Mashov will distribute each one of its shareholders 0.347 shares of Magic and 0.422 shares of makor, makor shares were unchanged today, shares of formula which own 75% of Mashov were down 0.7% and Magic was up 2.9%. Makor ended trading unchanged.