Netanyahu's office criticizes a "smear campaign" targeting Israel in the wake of settler attacks.

Netanyahu's office publicly criticized a "smear campaign" it says is targeting Israel, following reported attacks by settlers. The statement frames the episode as a diplomatic and reputational dispute rather than a policy change, and the headline does not indicate any new sanctions, legal action, or shift in government policy. For markets, the main transmission channel is geopolitical risk premium: episodes that intensify international scrutiny can widen Israel's sovereign credit spreads and weigh on the shekel through risk-off flows, while local equities may

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