Israeli President Isaac Herzog has deferred any decision on Prime Minister Benjamin Netanyahu’s November 2025 pardon request in his ongoing corruption trial, prioritizing mediation toward a plea deal instead. Legal opinions from the Justice Ministry have highlighted the absence of precedent for pre-conviction clemency without an admission of guilt or conviction, while coalition ministers submitted a recommendation favoring pardon on national security grounds. The trial resumed in April 2026 following a pause, with cross-examination continuing and no verdict expected before late 2026. External pressure from U.S. officials has not shifted Herzog’s stated process of exhausting negotiations first. Traders assess low odds of an imminent pardon absent a breakthrough in talks or major shifts in the case status before any market resolution window.