Mysterious Traders Profited from Israeli Stock Market Before Hamas Attack

Research conducted by law professors at Columbia University and New York University suggests that unknown traders may have had advance knowledge of the October 7th Hamas attack in Israel. The study found a significant spike in short selling activity in the MSCI Israel Exchange Traded Fund (ETF) in the days leading up to the attack, surpassing levels seen during previous crises such as the Covid-19 pandemic and the 2008 global financial crisis. The researchers believe that traders who were informed about the attack may have profited from it. However, the study does not link specific traders to the transactions or determine their sources of information. Regulators have not commented on whether an investigation is underway.