ADRs in Focus: Israel index dips after Iran news

The Bank of New York Israel ADR Index lost 4.06 points, or 1.3 percent, to 310.38. So far this year the index has lost about 3.8 percent.

ADR stands for American Depositary Receipt, which is a security designed to allow U.S. investors to trade shares of companies based overseas.

Pentagon officials said Friday that Israel conducted a major exercise in the Eastern Mediterranean region with warplanes and other aircraft earlier this month. The officials spoke on condition of anonymity because they were not authorized to speak on the sensitive matter for the record.

Israel's military refused to confirm or deny the reasons behind the maneuver.

Were Israel to bomb Iran's nuclear facilities, it would not be the first time the country has moved to block an atomic program.

Israeli jets bombed Iraq's Osirak nuclear facility in 1981 to end dictator Saddam Hussein's nuclear program. Last September Israel bombed a Syrian facility that U.S. officials have said was a nuclear reactor being constructed with North Korean help.

Israeli ADRs were mostly muted after the news, with data recording company Nice Systems Ltd. posting the biggest drop, down 73 cents, or 2.2 percent, to $32.45.

Shares of XTL Biopharmaceuticals Ltd. lost 5 cents to $3.15 and shares of supermarket operator Blue Square Israel Ltd. dropped 3 cents to $12.15.

Partner Communications Co. shares dipped a penny to $24.09 and shares of Teva Pharmaceutical Industries Ltd. decreased 57 cents to $44.43.