A FinSec View – Markets, Wealth Wisdom, Downsizer Rules and more…
13th October 2023 Plot Twist as Market Braces for 'Higher for Longer' Narrative Any author knows the value of a good plot twist - or two, or three. The name of the game, of course, is to keep readers guessing. To keep them navigating the carefully constructed twists and turns until there’s some ‘a-ha’ moment of clarity. And so, it seems, the US Federal Reserve is writing an intriguing page turner - one that’s souring sentiment and prompting investors to question now not how high [...]
Weekly Market Update – 9th October 2023
Investment markets and key developmentsGlobal share markets were mixed over the last week. US shares initially fell as higher bond yields continued to pressure valuations not helped by political uncertainty with the replacement of the House Speaker, but then rebounded from technical support on Friday helped by a “goldilocks” (not too strong, not too weak) interpretation of the latest jobs data. This saw US shares rise 0.5% for the week. Eurozone shares fell 1.2% for the week and Japanese shares fell 2.7%. The poor global lead saw Australian [...]
Weekly Market Update – 2nd October 2023
Investment markets and key developments Global share markets fell again over the last week as bond yields rose further (with Fed Chair Powell offering no objection to rising bond yields in a Q&A session) putting more pressure on share market valuations. September lived up to its reputation as being a bad month for shares with US shares down around 4.6% and global shares down around 3.7%. Australian shares fell but only by around 0.2% for the week with falls led by IT, materials and discretionary stocks, leaving [...]
Weekly Market Update – 25th September 2023
Investment markets and key developments Global share markets mostly fell over the last week as “higher for longer” interest rate signals from the Fed and some other central banks pushed bond yields higher. A 2.9% fall for the week took the key direction setting US share market below its August lows establishing a downtrend from July. Eurozone shares lost 2% and Japanese shares fell 3.4% but the Chinese share market rose 0.8%. Reflecting the weak global lead, the Australian share market fell by 2.9% for the week. [...]
Weekly Market Update – 18th September 2023
Investment markets and key developments Global share markets were mixed over the last week. US shares initially rose as economic data provided confidence that the Fed won’t have to raise rates again but fell on Friday on concerns about an auto workers strike amidst various options expiries which can magnify volatility leaving them down 0.2% for the week. Chinese shares also fell 0.8% for the week amidst growth concerns. However, Eurozone shares rose 1.3% helped by a “dovish rate hike” from the ECB and Japanese shares rose [...]
A FinSec View – Markets, Wealth Wisdom, Protecting your nest egg and more…
15th September 2023 Navigating by the stars under cloudy skies - Jackson Hole’s inflation forecast The majestic Grand Teton mountain range in Wyoming, US, provided a striking backdrop for the high-profile annual Jackson Hole economic retreat last month, with financial markets watching the event as closely as the area’s native hawks. The annual get-together of top central bankers (including our own Dr Philip Lowe for the final time before he passed the baton to Michele Bullock) is significant, because it affirms the Federal Reserve’s posture [...]
Weekly Market Update – 11th September 2023
Investment markets and key developments After a couple of weeks of gains global share markets fell again over the last week on renewed concerns about more central bank rate hikes, higher oil prices as Saudi Arabia and Russia extended production cuts, a rebound in bond yields and concerns about China’s economy and its plans to extend its iPhone ban. For the week US shares fell 1.1%, Eurozone shares fell 1.2%, Japanese shares fell 0.3% and Chinese shares fell 1.4%. Following the weak global lead and given worries [...]
Weekly Market Update – 30th August 2023
Investment markets and key developmentsAfter three weeks of falls, global share markets managed to rise over the last week helped by softer economic data easing concerns about higher for longer central bank interest rates, the ongoing interest in AI supported by strong sales at Nvidia and no hawkish surprises from Fed Chair Powell’s Jackson Hole speech. For the week US shares rose 0.8% and Eurozone and Japanese shares gained 0.6%. Worries about the Chinese growth outlook continued to weigh on the Chinese share market though and it fell [...]