Middle East Conflict News
LAST UPDATE: June 10, 2025
Bank of Israel MPC voted 5-0 to hold rates over inflation concerns
On May 26, Israel’s central bank unanimously voted to maintain the key rate at 4.5%, citing persistent inflation at 3.6% and ongoing geopolitical uncertainty.
Insight
Faced with inflation above its 1–3% target, Israel’s rate pause signals caution. With geopolitical instability and global trade stress, the MPC recognizes upside risks. The unanimous vote signals a unified commitment to inflation control, delaying rate cuts until clear price stability returns—underscoring central bank independence amid fragile economic conditions.
Trump expected to speak with Israel’s Netanyahu, White House officials say
Reuters
U.S. President Donald Trump is scheduled to speak with Israeli Prime Minister Benjamin Netanyahu on Monday, June 9, amid efforts to accelerate humanitarian aid into Gaza and influence Iran’s nuclear agenda. Trump has previously cautioned Netanyahu against actions that could derail progress in the Iran nuclear talks.
Insight
The planned call underscores active U.S.–Israel coordination during high-stakes diplomacy on Gaza and Iran. Trump appears to be exerting pressure on Netanyahu to maintain restraint, reflecting Washington’s desire for unity in nuclear negotiations. This communication may also help align Israeli actions with the broader U.S. mediation strategy aimed at securing ceasefires and influencing Iran.
