Market jitters in the pandemic-era
The US Dollar index is narrowing on the Dotcom-era bust highs. US and international stock markets are shedding value. Are we on the precipice of another sharp sell-off? All eyes are on the Fed Markets are jittery leading up to Wednesday’s critical interest rate decision and monetary policy statement from the US Federal Reserve. Slated…
A premium on winter fuel
Natural gas for delivery in Japan and Korea is hovering at all-time highs. The price of coal for loading from Newcastle, Australia has never been higher. What is causing the high prices for these critical winter supplies, and how can investors participate in the record run? The gas market Oil prices are down 4% this…
US stock market carnage spills over into Australia
The August month-on-month-consumer price reading is 0.6%, twice the expectation of 0.3%. Investors fearing accelerated and sharper rate hikes hit the sell button en masse. What is driving the selloff, and can we expect the selling to continue? Sticky inflation The August month-on-month print of the consumer price index came in at 0.6%, or 7.2%…
The remarkable flexibility and durability of the US oil industry
Displacement of Russian oil to Europe could derail the world’s oil market. The US private and public market response to the crisis has surpassed even the most optimistic expectations. How has the US suppressed oil prices, and can this continue? Oil’s importance For the average consumer, oil is one of the most significant expenditures through…
Restart the nukes
The rise of cheap solar cells and scaled wind turbine production displaced new nuclear on price. The Fukushima disaster caused many countries to re-evaluate their existing relationship with nuclear. Hostilities on the European continent have caused countries to shore up their energy mix and nuclear is now returning to vogue – what are the easiest…
Is Australia Caught in a Federal Reserve Vice?
Stock markets and interest rates exhibit a historical inverse relationship The Australian stock market moves in lock and step with the US As the Federal Reserve has attempted to squeeze out inflation through rate rises, the Australian share market has retreated. Is there an end in sight? Through a challenging nine months of Australian equity…
Australia’s labour squeeze
Unemployment among the participating workforce nears its lowest in recorded history Businesses find themselves in stiff competition for the best talent What are the reasons for this current labour shortage, and how can governments and businesses respond? A thinly stretched labour force During the pandemic, many businesses around the world froze or reduced operations. Their…
Investing in the downturn – how to keep your money safe this winter?
Rising global benchmark interest rates are spooking investors as they bear witness to policymakers’ attempts to deflate their holdings. Investors are looking to keep their investments safe this winter. What are some of the best investment strategies to keep your money safe during an economic downturn? The international company earnings outlook is beginning to sour,…
The shifting tide of the global economy
Global inflation is sky-high, and recessionary signals are on the rise. US GDP for Q2 2022 is published Thursday as a curtain raiser to the central banker’s annual Jackson Hole Symposium. International central bankers, Federal Reserve officials, other policymakers, and academics meet annually to discuss the economy. Will they be able to stave off an…
As European Inflation Sets New Records, What Does This Mean for Australia?
European inflation is hovering at all-time highs Russian gas displacement from European markets is sending energy costs soaring Europe is Australia’s second-largest trading partner; how long can Europe sustain these high prices before the economy succumbs and what would be the impact on Australia? Sky-high inflation European inflation is currently hovering around all-time highs in…
