Israel Investigates Suspicious Stock Market Activity Before Hamas Attack

A report has emerged stating that Israel was aware of Hamas' plans for a major terror attack over a year in advance. Israeli Minister of Strategic Affairs Ron Dermer has announced that an investigation will be conducted after the fighting with Hamas ends. The report is based on a 40-page document obtained by Israel, which predicted many of the steps taken by Hamas in the October 7 attack that triggered the current war. US officials are also looking into whether they had any prior knowledge of the attack. White House National Security Council spokesman John Kirby has stated that they have no indications of prior knowledge. It is believed that about 140 people, including eight Americans, are currently being held captive by Hamas. Israel's main objective is to dismantle Hamas' military capabilities and end its political rule in Gaza. While the Biden administration is working on a hostage deal, Israel remains focused on achieving its goals. The civilian death toll has been a topic of discussion, with Dermer emphasizing that Israel is doing everything possible to keep civilians safe. Kirby has reiterated President Biden's support for a two-state solution and stated that the Palestinian Authority needs to be revitalized and reformed, with Hamas excluded from the process. Dermer has expressed Israel's support for Palestinian autonomy while ensuring that they cannot threaten Israel.

In a separate development, Israeli authorities are investigating claims that investors may have had prior knowledge of a Hamas attack on October 7 and used that information to profit from Israeli securities. Research by law professors Robert Jackson Jr and Joshua Mitts found significant short-selling of shares leading up to the attacks. The researchers noted a spike in short interest in the MSCI Israel Exchange Traded Fund (ETF) on October 2, as well as a dramatic increase in short selling of Israeli securities on the Tel Aviv Stock Exchange (TASE) just before the attack. The Israel Securities Authority is currently investigating the matter. The researchers also found that short-selling of Israeli companies on US exchanges did not increase, but there was a sharp increase in trading in risky short-dated options on these companies just after the attacks. The professors also referred to similar patterns observed in April when it was reported that Hamas was planning an attack on Israel. The investigation aims to determine if traders had insider information and profited from the attacks. [7f73b50e][7fd2dbb9][77563e3e][2131cab8][cd238609]

This article provides live coverage of Iran's attack on Israel and its impact on financial markets. As of April 13, 2024, at 8:26 pm ET, the events are ongoing. The article discusses the market reaction to the attack and its potential implications. It does not provide specific details about the attack itself or the casualties. The article is published by MarketWatch. [12496c71]