Every city I visit, I always make a trip to the supermarket, street markets/food stalls, bakeries and fruit/food markets (see any connections?? its all related to food!). I love to see what the locals eat and I'm usually not afraid to try anything new (well, as long as its not insects or some rare meat/fish that will kill you if not cooked properly). So, in general, I find it fascinating to see all the local foods -- what is fresh for the day (though, don't expect an honest answer from the vendors) or most importantly see where all the locals are standing so I know its a good spot to buy something from. In Jerusalem, Wilson and I sought out the Mehane Yehuda Market, which is located north of the center of the New City (or just ask any local and they will point you in that direction). Its an easy 10 minute walk from the New City Center, and if you feel like the market should be there already, walk a little further. You won't miss the one long alley of fruits, vegetables, meats, fish, nuts, and freshly baked goods. 
Wilson and I of course splurged a bit -- I bought some freshly baked mini-cinnamon buns and blueberry filled croissants (D-E-L-I-C-I-O-U-S) and both are highly recommended! I have to say -- the bread in Jerusalem is out of this world... Reminds me a lot of Chinese bakeries in Hong Kong -- once you take a bite, you want another and another and another... Oh so good!!! So, let your nose take you to the bakery (there are a few inside the long alley and another two outside of . The two outside have more variety and you can just smell your way through the store ... and is where we grabbed our share of carbs!). Btw, we didn't learn this until later, but you get more bang for the buck if you purchase a lot versus one or two (its like Costco -- you get the volume discount! But, since I'm traveling, I probably don't need a few months worth of bread.)
Wilson also bought some nuts and discovered how expensive it was. For a kilo of cashews it was 64 sheckels (NIS), or approximately $16. Yup! Where is Planters Nuts when you need it! Surprisingly, Israel has been an expensive country to travel in. The food market and restaurants are comprarable to New York prices and sometimes more expensive for less tasty foods ... but welcome to Jerusalem where the dollar is weak and the price is high! Or, perhaps, the prices are just high here!
We also bought a few other goodies -- strawberries that cost 20 sheckels per kilo, or about $5; tangerines that cost 8 sheckels per kilo, or about $2. If Mehane Yehuda Market doesn't spark your food interest, there is also another alley of goodies about two streets up from this market. So enjoy your travels in Israel!
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