Israeli Prime Minister Benjamin Netanyahu clings to power through a fragile right-wing coalition in the Knesset, despite widespread protests over his handling of the Gaza war, hostage crisis, and Hezbollah escalations. The most recent major development—Israel's October 26 airstrikes on Iranian military sites following Tehran's October 1 missile attack—has rallied his base by demonstrating resolve, but intensified criticism from opposition leaders like Benny Gantz and Yair Lapid, who lead in polls. No snap election is scheduled before October 2026, and recent no-confidence votes have failed amid coalition discipline. Traders monitor ceasefire negotiations, potential Knesset budget battles, and his ongoing corruption trial for catalysts that could trigger resignation or early elections.