FX.co ★ Israel Inflation Slows in July

Israel's annual inflation rate moderated to 3.1% in July 2025, down from 3.3% in June, aligning with market expectations. This deceleration was largely attributed to decreased prices in the clothing and footwear sector (-6.2%) as well as furniture and household equipment (-1.4%). However, there were significant price increases in miscellaneous items (5.1%), housing (4.2%), and food, excluding fruits and vegetables (3.7%). The core Consumer Price Index (CPI) reflected a rise of 3.4% when energy was excluded, a 3.2% increase excluding fruits and vegetables, and a 2.7% rise excluding housing. On a monthly basis, consumer prices experienced a 0.4% uptick, accelerating from the 0.3% increase recorded in June.