Israel’s economy surges after Iran war lull
AI-powered article analysis with grammar and vocabulary notes.
Israel's economy rebounded sharply in the third quarter, putting in a stronger-than-expected performance after a weak second quarter that was hit by the conflict with Iran on top of the Gaza war.
Main IdeaThe sentence says that Israel’s economy recovered strongly in the third quarter and did better than experts thought, even though the previous quarter was weakened by overlapping conflicts with Iran and the Gaza war.Tone & PerspectiveThe tone is analytical and cautiously positive. It highlights a sharp rebound, but also reminds the reader that serious conflicts had recently hurt the economy, suggesting ongoing risk in the background.Meaning FlowConflicts (Iran + Gaza)→Weak Q2→Q3 rebound→Stronger-than-expected results💡 The structure contrasts a damaged earlier quarter with a surprisingly strong later quarter, emphasizing economic resilience under political and military pressure.
Sentence about Israel’s third-quarter economic rebound after a weak second quarter.
- Subject (S)Israel’s economy — the thing doing the action.
- Verb (V)rebounded — main action meaning “recovered/rose again.”
- Modifier (M)sharply — adverb showing the degree or intensity of the rebound.
- Time (M)in the third quarter — prepositional phrase telling us when the rebound happened.
- Resulting clauseputting in a stronger-than-expected performance — participle clause (non-finite) explaining the result of the rebound.
- Contrast (M)after a weak second quarter — shows the previous period was bad, highlighting the contrast.
- Relative clausethat was hit by the conflict with Iran on top of the Gaza war — explains why the second quarter was weak (it was damaged by overlapping conflicts).
rebounded
Definition
To bounce back after hitting a surface or to recover from a setback.
Example
After missing the shot, the ball rebounded off the backboard and into the hands of a teammate.
performance
Definition
An event where someone shows their skills or talents to an audience, like acting, singing, or dancing.
Example
The performance of the play was outstanding and received a standing ovation.
conflict
Definition
To be in disagreement or opposition with someone or something.
Example
The two countries continue to conflict over border issues.
quarter
Definition
Describing something that is one fourth of a whole or divided into four equal parts.
Example
The recipe calls for a quarter cup of sugar.
Gross domestic product grew an annualised 12.4% in the July-to-September period from the prior three months, the Central Bureau of Statistics said on Sunday.
Main IdeaThe sentence reports that GDP increased at a very strong annualised rate of 12.4% in the July–September quarter compared with the previous three months, according to official government statistics.Tone & PerspectiveThe tone is technical and objective. It simply presents a precise economic figure and attributes it to an official source, without adding judgment or emotional language.Meaning FlowPrior 3 months (baseline)→July–September period→GDP grew→Annualised 12.4% rate→Reported by statistics bureau💡 “Annualised 12.4%” means the quarterly growth is converted into a yearly pace, making it easier to compare with other annual growth rates.
Sentence reporting GDP growth and quoting an official source.
- Main clause – Subject (S)Gross domestic product — the economic measure that is changing.
- Main clause – Verb (V)grew — main action, meaning “increased.”
- Complement (C)an annualised 12.4% — describes how much it grew; functions like an object complement to the verb “grew.”
- Time (M)in the July-to-September period — prepositional phrase telling when this growth happened.
- Reference point (M)from the prior three months — shows what the growth is being compared to (the previous quarter).
- Reporting clause – Subjectthe Central Bureau of Statistics — the institution providing the information.
- Reporting clause – Verbsaid — reporting verb introducing the source of the statement.
- Time of report (M)on Sunday — tells when the bureau made the statement.
prior
Definition
Existing or happening before something else in time, order, or importance.
Example
You need to get prior approval before starting the project.
bureau
Definition
A place or organization that provides specific information or services, often related to travel, government, or news. It can also refer to a type of furniture with drawers for storing clothes or writing materials.
Example
I booked my vacation through a travel bureau that specializes in trips to Europe.
statistics
Definition
The study of collecting, organizing, and interpreting numerical data to understand and analyze information, often used in various fields like science, business, and social sciences.
Example
The statistics show that more people are using public transportation this year than last year.
"This reflects a rapid recovery following the war with Iran," said Leader Capital Markets Chief Economist Jonathan Katz, referring to a 12-day war between Israel and Iran in June that shut down Israel's economy due to heavy incoming missile fire.
Main IdeaA chief economist is explaining that the strong economic data shows how quickly Israel’s economy has bounced back after a short but intense war with Iran that temporarily shut the country down.Tone & PerspectiveThe tone is analytical and slightly reassuring. By calling it a “rapid recovery,” he highlights resilience, while the reference to a war that “shut down” the economy reminds readers how severe the earlier shock was.Meaning Flow12-day war with Iran→Economy shut down by missile fire→Later strong GDP data→Economist says: this reflects rapid recovery💡 The word “this” points back to the reported GDP figure; the economist interprets the number as proof that the economy has recovered quickly from a very disruptive conflict.
Sentence with a quoted comment by an economist explaining rapid recovery after a war.
- Inside the quote – Subject (S)This — refers to the economic data just mentioned (e.g. GDP growth).
- Inside the quote – Verb (V)reflects — shows/indicates.
- Inside the quote – Object (O)a rapid recovery — what the data is said to show.
- Inside the quote – Modifier (M)following the war with Iran — when/after what event the recovery happened.
- Reporting clause – Verb (V)said — reporting verb introducing who spoke.
- Reporting clause – Subject (S)Leader Capital Markets Chief Economist Jonathan Katz — full title + name; note the inversion (verb said comes before the subject phrase).
- Participial clausereferring to a 12-day war between Israel and Iran in June — -ing phrase giving extra information about what “this” refers to; modifies Jonathan Katz or the act of speaking.
- Relative clausethat shut down Israel's economy due to heavy incoming missile fire — explains the effect of the war and the reason (missile fire).
reflects
Definition
To show or express something, often by bouncing back light or sound, or by representing an idea or feeling.
Example
The mirror reflects my image clearly.
recovery
Definition
The process of getting back to a normal state after a difficult situation, such as an illness or injury.
Example
After a long illness, her recovery was slow but steady.
economist
Definition
A person who studies or works in the field of economics, analyzing how resources are produced, distributed, and consumed.
Example
The economist presented a new theory on market behavior at the conference.
missile
Definition
Designed to be thrown or launched at a target from a distance.
Example
The missile weapon was developed to hit targets accurately from far away.
incoming
Definition
Referring to something that is arriving or being received, such as mail, trains, or people who are taking on a new role.
Example
The incoming governor promised to improve the education system.
The third-quarter GDP gain topped a Reuters consensus of an 8% expansion and was fuelled by broad-based gains led by consumer spending (+23.0%), exports (+23.3%) and investment (+36.9%). Government spending grew 4.4%.
Main IdeaThe text says the actual GDP growth in the third quarter was much stronger than economists had predicted (beating the 8% consensus). It explains that this strength came from many areas of the economy, especially consumer spending, exports, and investment, with government spending also rising modestly.Tone & PerspectiveThe tone is data-driven and analytical. It compares forecast vs. reality and then breaks down which parts of the economy are driving growth. The strong double-digit figures for private-sector components suggest robust underlying demand, while government spending plays a smaller but positive role.Meaning FlowEconomists' forecast: 8%→Actual GDP gain (higher)→Broad-based gains→Led by consumption, exports, investment→Government spending also up💡 “Topped a Reuters consensus of an 8% expansion” means the real growth rate was above what a group of economists surveyed by Reuters had expected.
Two sentences describing how GDP growth compared with forecasts and what components drove it.
- Main clause – Subject (S)The third-quarter GDP gain — the specific increase in GDP being discussed.
- Main clause – Verb (V1)topped — means “was higher than” or “exceeded.”
- Object (O1)a Reuters consensus of an 8% expansion — the benchmark forecast made by economists surveyed by Reuters.
- Coordinated verb (V2)was fuelled — passive verb describing what drove the gain.
- Complement (C2)by broad-based gains — tells us the source of the “fuel” (growth contributions from many areas).
- Detail of gainsled by consumer spending (+23.0%), exports (+23.3%) and investment (+36.9%) — specifies the main categories behind the broad-based gains.
- Second sentence – Subject (S)Government spending — another component of GDP.
- Second sentence – Verb (V)grew — indicates an increase.
- Second sentence – Complement (C)4.4% — the growth rate of government spending.
consensus
Definition
A general agreement or shared opinion among a group of people.
Example
The committee reached a consensus on the new policy after much discussion.
expansion
Definition
The act of increasing in size, number, or importance, or a part that has been made larger or more extensive.
Example
The expansion of the city has led to more job opportunities.
investment
Definition
The act of putting money or resources into something, such as a business or project, with the expectation of making a profit or gaining some benefit in the future.
Example
Many people choose to make an investment in the stock market to grow their savings.
spending
Definition
To use money to buy goods or services.
Example
She is spending her savings on a new car.
The Gaza war was triggered by a raid on Israel by Palestinian militant group Hamas on Oct. 7, 2023. Since then, the economy has been restrained due to as many as 300,000 civilians called into military reserve duty and forgoing their jobs for long stretches of the conflict.
Main IdeaThe passage explains that the Gaza war began with a Hamas raid on Israel in October 2023 and that, ever since, Israel’s economy has been held back because a huge number of civilians have been mobilised as reservists and absent from their normal jobs.Tone & PerspectiveThe tone is factual and somberly analytical. It links a specific triggering event (the raid) to long-lasting economic damage, emphasising human cost through “civilians” pulled from work for “long stretches of the conflict.”Meaning FlowHamas raid (Oct. 7, 2023)→Gaza war is triggered→300,000 civilians called to reserve duty→People forgo jobs for long periods→Economy remains restrained💡 The structure connects a single day of attack to an extended period of economic constraint, underlining how security events can have prolonged labour and growth effects.
Two sentences: one explains what triggered the war, the other explains its continuing economic effect.
- 1st sentence – Subject (S)The Gaza war — the conflict being described.
- 1st sentence – Verb (V)was triggered — passive form, meaning “was set off/started.”
- 1st sentence – Cause (C)by a raid on Israel — what caused the war to start.
- Agent (M)by Palestinian militant group Hamas — who carried out the raid.
- Time (M)on Oct. 7, 2023 — when the raid occurred.
- 2nd sentence – Time frameSince then — linker showing “from that time up to now.”
- 2nd sentence – Subject (S)the economy — the national economy.
- 2nd sentence – Verb (V)has been restrained — present perfect passive; means “kept down / limited” over a period.
- Cause (M)due to as many as 300,000 civilians called into military reserve duty — gives the reason; “as many as” stresses the high number. “Called into…” is a reduced passive clause modifying “civilians.”
- Additional effectand forgoing their jobs for long stretches of the conflict — coordinated -ing clause showing what those civilians are doing (not working) and for how long.
1) X war was triggered by Y (event) by Z (actor) on (date)
2) Since then, A has been restrained due to B, (people) forgoing C for long stretches
triggered
Definition
Describing something that has been activated or caused to happen by a specific event or condition.
Example
The triggered alarm went off when the door was opened.
restrained
Definition
Kept under control or limited in expression, behavior, or emotion.
Example
She spoke in a restrained manner during the meeting.
civilians
Definition
People who are not members of the military or police forces.
Example
During the conflict, many civilians were affected by the violence.
reserve
Definition
Kept back or saved for future use, often referring to supplies or resources that are not currently being used.
Example
The restaurant has a reserve stock of ingredients for busy nights.
conflict
Definition
To be in disagreement or opposition with someone or something.
Example
The two countries continue to conflict over border issues.
Economic growth was 1% in 2023 and is projected to grow 2.5% in 2024, according to the Bank of Israel, whose estimate is slightly weaker than 2.8% from the Finance Ministry. But growth, held back somewhat during the two-year Gaza war, is forecast to expand around 5% in 2026.
Main IdeaThe passage contrasts recent weak growth with improving forecasts. Growth was only 1% in 2023, is expected to rise modestly to 2.5% in 2024 (slightly below the Finance Ministry’s 2.8% view), but despite the drag from the Gaza war, it is projected to reach about 5% in 2026.Tone & PerspectiveThe tone is cautiously optimistic and technical. It acknowledges the conflict’s negative effect on growth but highlights that both the central bank and the finance ministry foresee stronger expansion in the medium term, suggesting confidence in eventual recovery.Meaning Flow2023: growth = 1%→2024: Bank of Israel projects 2.5%→Finance Ministry slightly higher at 2.8%→Gaza war holds growth back→2026: forecast ~5% expansion💡 The structure moves from current weak reality to near-term moderate improvement and finally to a stronger medium-term rebound, while keeping the war’s drag in view.
Two sentences comparing actual growth, projections, and the impact of the Gaza war.
- 1st clause – Subject (S)Economic growth — the thing being measured.
- 1st clause – Verb (V1)was — linking verb.
- 1st clause – Complement (C1)1% in 2023 — states the level of growth and the year.
- Coordinated clause – Verb (V2)is projected — passive; “is expected.”
- Coordinated clause – Complement (C2)to grow 2.5% in 2024 — what growth is expected to do and by how much.
- Reporting phrase (M)according to the Bank of Israel — source of the projection.
- Relative clausewhose estimate is slightly weaker than 2.8% from the Finance Ministry — compares the Bank’s forecast to the Finance Ministry’s higher 2.8% forecast; “whose” refers to the Bank of Israel.
- 2nd sentence – ConnectorBut — introduces contrast (despite previous limits).
- 2nd sentence – Subject (S)growth — again, economic growth.
- Non-finite modifierheld back somewhat during the two-year Gaza war — past participle phrase describing the state of growth (restricted) and when this happened.
- 2nd sentence – Verb (V)is forecast — passive; “is predicted.”
- 2nd sentence – Complement (C)to expand around 5% in 2026 — expected rate and timing of future growth.
Economic growth was X in YEAR and is projected to grow Y in YEAR2, according to Z, whose estimate is...
But growth, held back (somewhat) during PERIOD, is forecast to expand Z in YEAR3.
projected
Definition
To have shown or displayed something, often in a way that suggests it will happen in the future.
Example
The company projected a significant increase in sales for the next quarter.
estimate
Definition
A rough calculation or judgment about the value, size, or cost of something.
Example
The contractor provided an estimate for the renovation costs.
forecast
Definition
To predict or estimate what will happen in the future, often related to weather or economic conditions.
Example
The meteorologist will forecast the weather for the weekend.
ministry
Definition
A part of the government that is responsible for a specific area, led by a minister.
Example
The ministry of education announced new policies for schools.
expand
Definition
To increase in size, volume, or amount; to become larger or more extensive.
Example
The balloon will expand when you blow air into it.
Israel's economic resilience has helped lead to all-time highs in Tel Aviv share indices, while the shekel has gained some 11% versus the dollar this year to a 3-1/2-year peak. GDP in the second quarter was revised to a 4.3% contraction from a prior 3.9%.
Main IdeaThe passage links Israel’s perceived economic strength to record highs in local stock indices and a sharply stronger shekel, while noting that official data still show a sizable second-quarter GDP contraction that has been revised to be even deeper than first reported.Tone & PerspectiveThe tone is market-focused and balanced. It highlights positive financial market signals (rising shares and currency) but offsets this optimism by reminding readers that underlying output shrank more than initially estimated.Meaning FlowEconomic resilience→Investor confidence→Tel Aviv indices at all-time highs→Shekel up ~11% vs dollar → 3.5-year peak→But: Q2 GDP contraction revised worse (4.3% vs 3.9%)💡 The contrast suggests that financial markets may be pricing in future strength even while the real economy is still showing the scars of recent shocks.
Two sentences: one links resilience to markets and currency, the other explains a GDP revision.
- 1st sentence – Main subject (S1)Israel's economic resilience — overall strength or ability to withstand shocks.
- 1st sentence – Verb (V1)has helped lead — present perfect; “has helped” + bare infinitive “lead”.
- 1st sentence – Complement (C1)to all-time highs in Tel Aviv share indices — result of that resilience, expressed with a “to” phrase.
- Contrast linkerwhile — introduces a parallel situation happening at the same time.
- 1st sentence – Subject (S2)the shekel — the national currency.
- 1st sentence – Verb (V2)has gained — present perfect; describes an appreciation in value.
- 1st sentence – Object (O2)some 11% versus the dollar this year — how much and against which currency, plus time frame.
- 1st sentence – Result (R2)to a 3-1/2-year peak — shows the level reached as a result of the gain.
- 2nd sentence – Subject (S3)GDP in the second quarter — national output over that period.
- 2nd sentence – Verb (V3)was revised — passive; someone changed the previously reported figure.
- 2nd sentence – New level (C3)to a 4.3% contraction — updated result showing a sharper decline.
- 2nd sentence – Reference pointfrom a prior 3.9% — the old estimate that the new number replaces.
S1 + has helped lead + C1, while S2 + has gained + amount + result.
S3 + was revised + new value + from old value.
resilience
Definition
The ability to bounce back or recover quickly from difficult situations, such as illness or change.
Example
Her resilience helped her overcome the challenges she faced after the accident.
indices
Definition
A list or collection of items that are organized in a specific way, often used to show information or data.
Example
The stock market indices showed a significant increase today.
shekel
Definition
A type of coin or unit of weight that was used in ancient times, particularly by the Hebrews, and is often associated with money in modern slang.
Example
He saved enough shekels to buy a new car.
revised
Definition
To change or correct something in order to improve it or make it more accurate.
Example
She revised her essay before submitting it to the teacher.
contraction
Definition
A word formed by combining two words and leaving out some letters, often using an apostrophe, or the process of becoming smaller or tighter.
Example
In English, "don't" is a contraction of "do not."
Last month, the U.S. brokered a ceasefire between Israel and Hamas that is still largely holding. The GDP data come after the bureau on Friday said the annual inflation rate held steady at 2.5% in October, a level some believe could prompt the Bank of Israel to lower short-term interest rates, possibly as soon as next week.
Main IdeaThe passage links a U.S.-mediated ceasefire that is mostly holding to recent economic signals: new GDP data follow news that inflation stayed at 2.5% in October, a rate that might encourage the Bank of Israel to start cutting short-term interest rates very soon.Tone & PerspectiveThe tone is cautiously hopeful and analytical. There is a sense of fragile stability: the ceasefire is “still largely holding,” and inflation is steady at a moderate level that could allow monetary easing, but both security and policy decisions remain uncertain.Meaning FlowU.S. brokers ceasefire→Ceasefire largely holds→Statistics bureau reports steady 2.5% inflation→GDP data released after that→2.5% seen as a “level”→Some expect BoI to cut rates soon💡 The paragraph connects security developments (ceasefire) with economic conditions (inflation, GDP, interest rate expectations), hinting that calmer conditions plus tame inflation open the door to rate cuts.
Two linked sentences: one about a ceasefire, one about GDP and inflation data leading to possible rate cuts.
- 1st sentence – Time (M)Last month — fronted time expression showing when the action happened.
- 1st sentence – Subject (S)the U.S. — the actor performing the main action.
- 1st sentence – Verb (V)brokered — negotiated/arranged (often used with “deal” or “ceasefire”).
- 1st sentence – Object (O)a ceasefire between Israel and Hamas — what was brokered; note “between A and B”.
- 1st sentence – Relative clausethat is still largely holding — describes the ceasefire; “that” = the ceasefire; is holding (present continuous) with adverbs “still” and “largely”.
- 2nd sentence – Subject (S1)The GDP data — plural; “data” treated as plural noun.
- 2nd sentence – Verb (V1)come — present simple; means “arrive/appear” in the news.
- 2nd sentence – Time clauseafter the bureau on Friday said the annual inflation rate held steady at 2.5% in October — “after” + clause giving earlier event. Inside that clause:
• S2: the bureau
• Time M: on Friday
• V2: said
• Content clause: the annual inflation rate held steady at 2.5% in October (S3: “rate”; V3: “held”; C3: “steady at 2.5% in October”). - 2nd sentence – Appositive nouna level — renames the 2.5% rate; followed by a reduced relative clause.
- 2nd sentence – Reduced relativesome believe could prompt the Bank of Israel to lower short-term interest rates — (= “which some believe could prompt…”). S4: “some”; V4: “believe”; content clause: “could prompt the Bank of Israel to lower short-term interest rates”.
- 2nd sentence – Extra time Mpossibly as soon as next week — tentative time adverbial showing how quickly cuts might happen.
Last month, S brokered a ceasefire between A and B that is still largely holding.
The GDP data come after [agency] said [indicator] held steady at X, a level some believe could prompt [central bank] to lower [rates].
brokered
Definition
Arranged or managed by someone who has influence or power, often in a way that involves negotiation or compromise.
Example
The brokered deal between the two companies was celebrated as a major achievement.
inflation
Definition
A situation where prices of goods and services rise over time, leading to a decrease in the purchasing power of money.
Example
The government is trying to control inflation to keep prices stable.
prompt
Definition
Quick to act or respond without delay; done immediately.
Example
She gave a prompt response to the customer's inquiry.
"The rapid growth in the third quarter supports a cautious monetary approach by the Bank of Israel," said Katz, who expects a rate cut "every second decision starting from 24 November" to reach 3.75% from a current 4.5%.
Main IdeaAn economist argues that strong third-quarter growth justifies the central bank moving carefully on interest rates. He expects a gradual series of cuts—only at every second policy meeting—eventually lowering the key rate from 4.5% to 3.75%.Tone & PerspectiveThe tone is cautious and professional. The speaker recognises positive growth but does not call for aggressive easing. Instead, he frames rate cuts as measured and spaced out, signalling concern about risks like inflation or renewed instability.Meaning FlowRapid Q3 growth→Justifies cautious monetary stance→Economist’s view→Rate cut every second decision→Policy rate falls 4.5% → 3.75%💡 The logic is: good news (strong growth) ≠ fast cuts. Instead it supports a slow, controlled easing path.
Quoted sentence where an economist links rapid growth to a cautious interest-rate policy path.
- Inside quote – Subject (S1)The rapid growth in the third quarter — the economic fact being commented on.
- Inside quote – Verb (V1)supports — means “gives a reason for / justifies”.
- Inside quote – Object (O1)a cautious monetary approach by the Bank of Israel — the type of policy stance that is justified (careful behaviour on interest rates).
- Reporting clause – Verbsaid — reporting verb introducing who spoke.
- Reporting clause – SubjectKatz — the economist; note inversion: “said Katz” (verb before subject).
- Relative clausewho expects a rate cut "every second decision starting from 24 November" — “who” refers to Katz; describes his expectation about how often cuts will happen.
- Purpose/result phraseto reach 3.75% from a current 4.5% — infinitive of result: shows the end level compared with the present one.
[Economic fact] supports [type of monetary approach]
cautious
Definition
Being careful to avoid potential problems or dangers.
Example
She was cautious when crossing the busy street.
monetary
Definition
Related to money or the management of money in an economy.
Example
The government announced new monetary policies to help stabilize the economy.
approach
Definition
To come closer in distance or time.
Example
As the deadline approaches, I need to work harder.
decision
Definition
A choice made after thinking about different options; a conclusion or judgment about something.
Example
After much thought, she made a decision to move to a new city.