Events are moving quickly in our highly ‘financialised’ markets with rising concerns around global liquidity, as evidenced by the sell-off in Credit Suisse and other European banking shares. The views expressed below have not changed. Australian Banks are well capitalised and the market is experiencing more...
Part 1: Macro Musing and 2023 Part 2: How the mighty have fallen Macro Musing and 2023 As anticipated, macro-economic factors – inflation and rising interest rates – have led the markets in 2022. Inflation has proven to be higher than expected a year ago and the ensuing cash...
Falling equity and bond markets Higher interest rates and stubborn inflation Risk of recession rising Earnings estimates too high Buy the dip? Risks are rising “On balance, the risks for investors have risen substantially, so you need to assess what works for you to sleep...
As one twitter commentator quipped after the Russian attack on the Ukraine “Young investors who only started investing 2-3 years ago now have been through a one in a lifetime pandemic, tech bubble 2.0 and Potential WW3. Not bad young bloods”. Ongoing major flooding across NSW and...
The worst start to the year for US stocks since 2008. How did it all go so wrong, so quickly? Well in the same way as investors chose to ignore many risks in 2021, many have awoken to the harsh reality that sentiment has turned and what...
Macro overview Make no mistake there is a very noisy chorus of doomsters in financial markets. Some so negative that they are either sitting in 100% cash or using financial products (options, bear funds, buying the volatility index) to protect their portfolios against a 20%+ downside...
The correction we had to have September lived up the bear’s warnings and the ASX200 fell 2.69%. But with dividends included the total return came in at negative 1.85% using Standard & Poor’s data. The US markets fared worse with the S&P500 down 4.76% and 4.65%...
Despite rolling lockdowns in Australia’s two largest cities and the rise of the Delta variant in the USA, stocks markets have continued their upward grind to record highs. August is the continuation of US Q2 (second quarter) results, and thus far FactSet reported that 87% of...
The US bull market has legs A couple of weeks back, my son asked “Mum, what’s a good stock to buy in the US?”. (Bear in mind he has been investing in the US markets for well over a year and does have the benefit of a...
I want to talk about Big Tech. In 2015/16 I restructured my SMSF share portfolio. I sold my Australian bank shares in 2015 and I was looking to diversify my share holdings into more secular growth themes and decided to start investing directly in the US...