Forget the barometer

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We don’t need an inverted yield curve to tell us a global manufacturing downturn may be underway. The business networks were flashing red all day last Wednesday as the spread between the U.S. Treasury 2- and 10-year yields turned negative for the first time since 2007. We’ve written a lot about why we think the […]

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Global dividends break a new record

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Australian payouts seasonally quiet, highlighting benefits of global exposure The deceleration in the world economy has begun to make an impact on dividends, according to the latest Janus Henderson Global Dividend Index. The total paid to shareholders broke a new record of $513.8bn in the second quarter, but the rate of increase was the slowest […]

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Insight Multi-Asset weekly update: PMIs for Japan, Europe and the US will remain under scrutiny

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Market and economic review A Stellar week for government bonds, as longer-dated yields reach record lows At the start of last week, 30-year US government bonds were yielding 2.25%, having tightened by roughly 75bp since the beginning of this year. To put it in context, that equates to a total return of 24%, roughly 10% […]

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Weekly market update – week ending 16 August, 2019

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Investment markets and key developments over the past week The past week saw share markets remain under pressure as the trade war rolled and Chinese and German economic data was weak leading to an intensification of global growth fears particularly after declining US bond yields saw a further inversion in the US yield curve. While […]

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Australia’s strong job market

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Labour force Employment rose for the 33rd time in 34 months, up by 41,100 jobs in July after a revised 2,400 fall in jobs in June (previously reported as an increase of 500 jobs). Full-time jobs rose by 34,500 with part-time jobs up by 6,700. Economists had tipped an increase in total jobs of around […]

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Fastest Victorian annual wages growth in 5½ years; Consumer views on home purchases hits 5½-year high

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Wage Price Index; Consumer confidence Wages: The wage price index rose by 0.6 per cent in the June quarter (consensus: +0.5 per cent). Annual wages growth was steady at 2.3 per cent – near 4½ year highs. Public sector wages were up by 0.8 per cent in the June quarter – the biggest increase in […]

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Insight Multi-Asset weekly update: Interest rate cuts overshadowed by ongoing US-China trade war

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Market and economic review This week’s economic data overshadowed by trade war concerns While the primary driver of risk assets last week has been the escalation in US-China trade tensions, key economic data did play some part in moving the market. The US non-manufacturing ISM fell to its lowest level since August 2016. Chinese exports […]

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Weekly market outlook – week ending 9 August, 2019

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Investment markets and key developments over the past week The past week saw a roller coaster ride in share markets with sharp falls after China responded to Trump’s latest tariffs by letting the Renminbi fall in value and ordering state owned enterprises to halt agricultural imports from the US and the US responded by labelling […]

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Insight multi-asset weekly update: US-China trade concerns returned to the fore, affecting risk sentiment

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Market and economic review US-China trade concerns returned to the fore and weighed on risk sentiment last week. Equity markets fell 2-6% over the week following the unexpected announcement of additional tariffs on Chinese exports into the US on Thursday. Unsurprisingly, returns from Chinese and eurozone equities were notably weaker over the period while sterling […]

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Property Listings Declined in July 2019

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Figures released yesterday by SQM Research reveal national residential property listings continued to decline in July by 2.8%, to 316,391 from 325,404 in June 2019. Compared to 12 months ago, listings were up by 0.7%. All states experienced a decline in property sales listings over the month, with Sydney experiencing the highest decline at 7.6% […]

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