Weekly market update – week ending 14 June 2019

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Investment markets and key developments over the past week Share markets, rose over the past week with the combination of expectations for rate cuts/policy stimulus and the tariffs being avoided on Mexico offsetting ongoing uncertainty about the US/China trade war and geopolitical tensions in the Middle East and Hong Kong. Australian shares made it to […]

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Time to go global as the US Federal Reserve can cut rates after weak US employment data

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Global trade data has been slowing rapidly over 2019, but last week’s US employment report was a dire warning, and can expedite the US Federal Reserve (the Fed) towards rate cuts later this year. US employment was weaker at a headline level, with revisions and average hourly earnings also slipping backwards, a trifecta of slowing […]

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Housing market brightens; Chinese tourism slumps; Consumers unsure on best place to put savings

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Consumer confidence; Overseas arrivals; Credit cards Consumer confidence: The Westpac/Melbourne Institute survey of consumer sentiment index fell by 0.6 per cent to 100.7 in June after rising by 0.6 per cent to 101.3 in May. The ANZ-Roy Morgan consumer confidence survey fell 1.4 per cent last week. Over June, the ANZ-Roy Morgan survey fell by […]

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Insight Multi-Asset Weekly Update: World Bank downgrades 2019 global growth forecast

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Market and economic review After last week’s broad-based sell-off, risk assets received a reprieve on growing expectations of de-escalation in US/Mexico trade tensions via a possible postponement to the introduction of tariffs. Commentary from US central bank members signalling a willingness to adjust monetary policy should the outlook for growth and inflation outlook deteriorate from […]

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The Australian Economy: Now and 25 years ago

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Economic perspectives Australia 25 years ago: Every generation believes they face tougher times than other generations. But the current economic times stack up surprisingly well compared with the past. We look back over the past 25 years. Recently, globalisation has caused inflation and wages to grow at far slower rates than in the past while […]

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Weekly market update – week ending 7 June, 2019

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Investment markets and key developments over the past week Share markets, except for China’s, rose over the last week on increasing prospects for Fed rate hikes in response to the negative impact of trade wars. The Australian share market also saw a modest boost from the RBA cutting rates. The prospect of more rate cuts […]

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Insight multi-asset weekly update: Government bond yields fell to multi-year lows, more Trump tariffs

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Market and economic review Government bond yields fell again to multi-year lows and risk assets were on the back foot as growth fears intensified In a holiday-shortened week with relatively little macroeconomic data to absorb, risk appetite remained firmly on the back foot. Continued concerns that escalating trade tensions might tip a fragile global economy […]

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Weekly market update – week ending 31 May, 2019

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Investment markets and key developments over the past week Global share markets fell again over the last week on the back of worries about global growth in the face of the escalating US/China trade war, made worse by Trump’s decision to put a 5% tariff on imports from Mexico rising to 25% by October unless […]

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Beyond trade and tariffs

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Trade and tariffs Volatility has returned and the red hot stock market that began the year has now downshifted closer to neutral. While the macro data continues to be lackluster – consistent with our view that the global economy is decelerating towards potential – much of the recent malaise has been driven by the on-again, […]

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Australian Actuaries Climate Index shows a summer of extremes

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The Australian Actuaries Climate Index shows Summer of 2018-19 was a season of record extremes; the number of hot days reached record levels, there were all time high levels of extreme rainfall in tropical regions and parts of central NSW were caught in ongoing drought. The index was released yesterday, and is the second quarterly […]

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