Israel’s October 27, 2026, Knesset election produced no majority, with Benjamin Netanyahu’s Likud-led bloc securing 53 seats, Gadi Eisenkot’s opposition bloc 48 seats, and Arab parties a record 19 seats in the 120-seat parliament. Neither side reached the 61 seats required for a coalition, prompting weeks of negotiations after official results and President Isaac Herzog’s November 8 mandate to Eisenkot. The new Knesset convenes soon, but Arab parties remain sidelined by most Jewish factions, and Eisenkot has 28 days (extendable by 14) to assemble a government. Failure would shift the mandate and potentially dissolve the Knesset, triggering new elections within 90 days, most likely in early 2027, while Netanyahu continues as caretaker. Traders monitor coalition talks, party defections, and any legislative moves on issues like the draft law or October 7 inquiries as key triggers for a snap vote.