Key points Australian election campaigns tend to see uncertainty driving weak gains for shares, followed by a bounce. Labor is offering more of the same whereas the Coalition is offering smaller government albeit without much detail. A hung parliament and minority government is the biggest...
Key points: Share markets have fallen sharply in recent weeks as uncertainty around US President Trump’s policies have led to renewed concerns about the risk of recession at a time when share market valuations were stretched. It’s still too early to say markets have bottomed...
Global The introduction of DeepSeek’s open-source R1 model shocked global markets in January, challenging our understanding of capex requirements and competition in artificial intelligence. Despite the DeepSeek rout, the MSCI World Equity Index ended January +3.5% higher, led by strength in European equities as investors rotated out...
Investors maintained a healthy risk appetite for much of October, which enabled major share markets to make further progress. Movements in the US set the tone, with the S&P 500 Index rising to fresh all-time highs during the month. Towards month end, however, subdued results from...
Introduction Contrary to what would normally be suggested by the solid US economy, low unemployment, falling inflation and strong share market, Donald Trump has been re-elected President of the US. Clearly some combination of the cost of living surge, the immigration blow out and too much...
Back in November we saw five reasons to expect a higher $A. These largely remain valid and the $A seems to be perking up again. Firstly, from a long-term perspective the $A remains somewhat cheap. The best guide to this is what is called Purchasing...
Australian shares fared well in July, buoyed by suggestions that no further interest rate hikes will be necessary. With inflation coming off the boil, there was optimism that borrowing costs have peaked and could be lowered later this year. In turn, this could be beneficial for...
Encouragingly the International Monetary Fund (IMF) raised its global growth forecast for 2024, following ‘surprisingly resilient’ economic conditions. IMF officials now expect global GDP growth of 3.2% this year. Despite this positive news, major share markets lost ground in April following five months of unbroken gains. Ongoing...
Economic and market overview A rally in the second half of the month helped global share markets generate solid gains in January, extending the rally from November and December. The latest indicators suggest economic conditions are holding up quite well in most regions, which augurs well for...
October was another difficult month for financial markets, partly reflecting an acceptance among investors that interest rates are likely to remain high for longer than was previously anticipated. Geopolitical risk ramped up too, following conflict in Israel and Palestine. Australian shares were down nearly 4% over the...
