Investors hold their nerve before a potential maelstrom
The S&P 500 is down a modest 1.4% this week after shedding 4% from Thursday last week. The markets are presently hyper-focused on inflation and reactive policy. What to expect from the balance of the week with a slew of sensitive international economic data being published. Investors hold their nerve before a potential maelstrom The…
European and American bankers raise the alarm for the likelihood of a recession
JP Morgan chief Jamie Dimon sounds the alarm on the global economic outlook. UK lender Santander has echoed Mr Dimon’s concerns. Why are leading bankers concerned about the economy, and should we be too? European and American bankers raise the alarm for increased recession likelihood Jamie Dimon is in the press this morning, sounding the…
Positive economic news troubles the stock market
The Asian market broadly sold off Monday morning. Markets have reacted poorly to positive economic data out of the US. Positive economic news troubled the stock market Friday as investors anticipate further rate tightening to stifle inflation. Positive economic news troubles the stock market In a twist to the normal proceedings, positive economic news is…
Turning tide or breaking wave?
The developed world ex-US NASDAQ:VXUS ETF is up 5.7% this week. The US S&P 500 is up 5.8% this week Are big international rallies reflective of an improving economic outlook or a brief respite from the pain yet to come? Recent price action In unison, international stock markets have rallied on very little positive news….
RBA offers some breathing room
The US S&P 500 & S&P ASX/200 were lower by 7-8% in September. The RBA raised the benchmark borrowing rate by 0.25% less than the expected 0.5% rate hike. After stocks were sharply lower in September, October opened a window to a relief rally, and a more dovish RBA brought a breeze to Tuesday morning…
The new world energy order
Russia-Europe gas linkage Nordstream closed indefinitely. European prices have stabilised, suggesting the supply restructuring is nearing completion. How durable is the new energy supply chain? Can we see an inflation retracement on the horizon? International inflation tightrope The US has been walking the tightrope of importing and exporting inflation. It has been attempting to reign…
Can Australia dodge yet another recession?
Retail sales were up 0.6% in August. Strong demand for business funding is fuelling confidence. Favourable business conditions and high demand for funding suggest the sun hasn’t yet set on the Australian economy. The Australian Economy The rising costs of living have given the Australian consumer pause for thought over the recent weeks and months….
Looking for relief in the data
The US Dollar is at 20-year highs against a basket of currencies. Faced with inflation and devalued currencies, international central banks fret over the direction of monetary policy. Can we make sense of the economic data and what may be on the immediate horizon? The Mighty Dollar The US dollar relative to a basket of…
The selloffs continue unabated
Asia opened lower on Monday, with the ASX shedding 2% at the open. The NASDAQ closed 1.8% down on Friday and a further 0.6% lower before the opening. Is inflation starting to turn the corner, and can we expect some relief from higher borrowing costs in the near future? A rocky start to the week…
The best ASX value stocks right now
The S&P ASX 200 is down 10% from its April highs. As of the 19th of September, the ASX PE ratio is narrowing on the March 2020 lows, currently at a multiple of 25.58. What are some of the best value quality stocks on the market now? Searching for value Global stock markets have taken…
