Inflows on the rise for US dollar ETF

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Investors looking to capitalise on a falling AUD A growing number of investors are looking to capitalise on a potential further decline in the Australian dollar with trading data from BetaShares, a leading exchange traded fund (ETF) provider, showing significant inflows into its US Dollar ETF in September. With the Australian dollar hitting seven month

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Job ads at 17-month high; Record China trade surplus

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Job Advertisements; Chinese trade Hiring again: Job advertisements rose by 1.5 per cent in August to a 17-month high. Bigger Chinese trade surplus: The Chinese trade surplus rose from US$47.3 billion to a record high of US$49.8 billion in August. Exports were 9.4 per cent higher over the year. What does it all mean? The continued lift

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Transition of the Australian economy – What does it mean for rates and the dollar?

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For Sophisticated Investors Only Mining: How deep is the hole? Chart 1 shows that mining as a percentage of GDP is at record highs, although it has started to drop off. The rise in mining has resulted not only in mining capex rising as a percentage of GDP spending, but also that total capital spending

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Higher Aussie dollar to cap petrol price

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Weekly Petrol Prices Petrol prices drop: According to the Australian Institute of Petroleum, the national average Australian price of petrol fell by 1.8 cents per litre to 149.9 cents a litre in the week to June 15. The petrol price has broadly trended sideways over 2014. Wholesale prices: Wholesale petrol prices are still falling in

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The Australian dollar – still more to fall

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Key points The rising tide in favour of the $A has well and truly reversed with further downside likely in the years ahead, particularly against the $US and Euro. The commodity price boom has faded in response to a moderation in Chinese growth as commodity supply increases, the US is slowing its quantitative easing program

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RBA: Cautious optimism but in wait and see mode

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RBA Board minutes Reserve Bank Board minutes: Minutes of the November Board meeting confirm that the Reserve Bank is assessing developments before deciding the next move in interest rates. “it was prudent to hold the cash rate steady while continuing to gauge the effects, but not to close off the possibility of reducing it further should

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Weekly market & economic update – week ending 8 November

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 Key events of the past week and implications The past week saw US shares pushed lower by increasing fears that the Fed will start to taper its quantitative easing program in December. This weighed on most global share markets and Australian shares, pushed the US dollar slightly higher and commodity prices lower. Bond yields were

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US debt ceiling: is there a long-term solution?

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Thankfully politicians in the US can at least agree on one thing – that America defaulting on its obligations would be a “bad thing”. And so it was recently at the eleventh hour that an agreement was struck to simultaneously suspend the debt ceiling and reopen the US government. All it took was a sixteen

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Lending lifts to 5-year high; Petrol price slides

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Petrol prices; Lending Finance; Credit & debit card lending Petrol prices: According to the Australian Institute of Petroleum, the national average Australian price of unleaded petrol fell by 2.3 cents a litre to 151.2 c/l in the week to August 11. CommSec expects fuel prices to fall by a further 2-3 cents a litre in

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Mining to benefit from weak $A, says manager

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The weaker $A will benefit tourism, education, agricultural and even the mining industry, a leading fund manager says. Pengana Capital’s Australian equities fund manager Rhett Kessler says ‘a lower $A represents lower global purchasing power for us as consumers. However, we expect several important domestic industries to benefit materially from the currency shift’. ‘These include

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