Israel’s President Isaac Herzog called on Prime Minister Benjamin Netanyahu and opposition leaders to immediately start talks after the government paused a controversial push to overhaul the judicial system.
(Bloomberg) —
Israel’s President Isaac Herzog called on Prime Minister Benjamin Netanyahu and opposition leaders to immediately start talks after the government paused a controversial push to overhaul the judicial system.
The shekel strengthened in early trade and institutions reopened after a day of unprecedented strikes and protests. In a sign of international business as usual, BP Plc and the UAE’s state oil firm made a non-binding offer to take Israel’s NewMed Energy private in a deal worth around $2 billion.
But anti-government protest leaders have vowed to press on. Protesters for and against the proposed overhaul clashed with police overnight. Opposition leaders have said they are ready for talks, and preparing teams, but they want the government to completely scrap plans that would significantly weaken the country’s courts.
Key Developments
- Netanyahu Delays Overhaul to Stop Israel Being ‘Torn to Shreds’
- BP and Adnoc Form Gas Venture and Make $2 Billion NewMed Offer
- Israeli Shekel Gains After Netanyahu Delays Judicial Overhaul
- Why Israel Is Bitterly Split by a Judiciary Overhaul: QuickTake
(All times CET)
Wells Fargo Sees ‘Baby Step’ in Right Direction (9:00 a.m.)
Developments late Monday “are a baby step in the right direction” said Brendan McKenna, a New-York based emerging-markets economist and foreign exchange strategist at Wells Fargo Securities. “There is still a ways to go before political risk materially eases and Israel’s asset prices can recover.”
Israeli asset prices will only fully rebound when a negotiated agreement is achieved, or the rest of the proposals are abandoned, he said.
BP and Adnoc Offer $2 Billion for Israeli Gas Group (8:38 a.m.)
BP and Abu Dhabi National Oil Co. will form a joint venture focused on natural gas and have made a non-binding offer to take Israel’s NewMed Energy private in a deal worth around $2 billion.
Businesses Reopen After Unprecedented Strikes (8:30 a.m.)
Israeli businesses and institutions are operating as normal after an extraordinary one-day strike that played a role in pressuring Netanyahu’s U-turn.
Monday’s call to shut down the $530 billion economy was exceptional because it was backed not only by the Histadrut labor federation but by private sector business leaders. International flight departures took off as scheduled Tuesday after being grounded the previous day by the strikes.
US Envoy Praises Netanyahu, Expects Biden Invite (8:00 a.m.)
The US Ambassador to Israel told Israel Army Radio that he “assumed” President Joe Biden would invite Netanyahu to the White House following the Jewish Passover holiday next month.
“They will see each other personally I’m sure quite soon,” Ambassador Tom Nides said. “Without question he’ll be coming to the White House as soon as their schedules can coordinate.”
He said Washington welcomed Netanyahu’s decision to suspend his government’s contentious proposal. “We wanted compromise and dialog, and I applaud the prime minister for announcing that,” he said.
Israeli Shekel Strengthens After Netanyahu Pause (7:06 a.m.)
The Israeli shekel strengthened 0.9% against the dollar early Tuesday after Netanyahu hit pause on his government’s contentious plan to remake the country’s judiciary.
Surveys Show Netanyahu Popularity Dented (7:00 a.m.)
Surveys conducted for Channels 11 and 12 showed that Netanyahu would be unable to form a government if elections were held today, following the turmoil created by the government’s proposed judicial overhaul.
The main reason would be a steep drop in support for the prime minister’s party, which would win just 25 of parliament’s 120 seats compared to its current 32.
Gantz Says Ready For Talks Via Presidency (6:30 a.m)
Opposition leader Benny Gantz has set up a negotiating team, Israeli media reported. Lapid said “if the legislation really does stop, genuinely and totally, we are ready to launch a genuine dialog at the president’s residence.”
–With assistance from Netty Ismail.
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