US political protests, inflation and rising bond yields

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Key points US protests are only an issue for investment markets if they significantly impact economic activity. Global and Australian recovery will boost bond yields and there is good reason to believe that (after yet another false ending) the now nearly 40-year super cycle decline in bond yields may be at or close to over.

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Weekly market update – week ending 15 January, 2021

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Investment markets and key developments over the past week Global share markets were mixed over the last week with Japanese shares up strongly, but US and European shares down slightly partly on profit taking after a run of strong gains along with concern about rising bond yields and Chinese shares also down. Consistent with the

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Weekly market update – week ending 11 December, 2020

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Investment markets and key developments over the past week Global share markets had a slight pull back over the last week with the absence of a new stimulus deal and still rising new coronavirus cases in the US weighing. Despite this, Australian shares rose for the sixth week in a row, albeit it was only

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AMP Limited announces AMP Australia CEO appointment

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AMP has announced the appointment of Scott Hartley as Chief Executive Officer (CEO) of AMP Australia, effective 11 January 2021. Mr Hartley, who was CEO of Sunsuper from 2014-19, will take over from Blair Vernon, who was the Acting CEO of AMP Australia, while an executive search was conducted. Mr Vernon will return to his

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Weekly market update – week ending 4 December, 2020

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Investment markets and key developments over the past week Global share markets mostly pushed higher again over the last week helped by reasonably good economic data, renewed stimulus talk in the US and ongoing vaccine optimism. Eurozone shares slipped a bit, but other major markets rose with US shares reaching a new record high. Reflecting

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AMP appoints David Atkin as AMP Capital Deputy CEO

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AMP has announced the appointment of David Atkin as Deputy Chief Executive Officer (CEO) of AMP Capital, effective 7 December 2020. Mr Atkin, previously the CEO of Cbus Super for 12 years, will assume operational leadership of AMP Capital in an interim capacity until June 2021, while AMP continues its search for a permanent CEO

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Weekly market update – week ending 27 November 2020

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Investment markets and key developments over the past week Global share markets pushed higher again over the last week as positive vaccine news helped offset fears about the short-term economic impact of lockdowns in the US and Europe. For the week US shares rose 2.3% to close at a record high as President elect Biden’s

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Modern Monetary Theory – can it help with economic problems or is it just another Magic Money Tree?

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Key points Modern Monetary Theory reminds us that monetary financing of government spending need not be inflationary if there is spare capacity in the economy. But it suffers from a number of problems: it implies there is always some sort of free lunch; it underestimates the costs of large-scale public employment programs; and it underestimates

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Weekly market update – week ending 20 November, 2020

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Investment markets and key developments over the past week While the US S&P 500 fell slightly over the last week on the back of rising new coronavirus cases and tightening restrictions in the US, other major global share markets rose helped by good vaccine news. Australian shares continued to recover with hopes that quick action

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Still The Lucky Country – five reasons why Australian shares are likely to outperform in the year ahead

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Key points Australia continues to perform better in “controlling” coronavirus, it has a stronger economic support policy response, its major trading partners in Asia are in better shape, the drag from the mining bust is over and it should benefit from a cyclical global recovery in 2021. This is likely to result in a stronger

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