Tel Aviv stocks are down more than three percent following a plunge in the European markets of up to five percent. The Americans stock market is closed for a national holiday Monday, but preliminary figures towards Tuesday's trading indicate a drop of close to five percent. Investors are fleeing stocks as fears spread of a worldwide recession in the wake of economic indicators that the United States is headed for a recession.
The dollar-shekel rate, which last week fell to a 10-year low of 3.70 shekels to the dollar, has climbed back to 3.80.