Posted on: May 23, 2019
A vote for continuity in an uncertain world
The Liberal/National Party Coalition has been returned to government, as Australians chose continuity over change and cautious economic management over Labor’s ambitious reform agenda.
Although Prime Minister Scott Morrison’s election spending promises were more modest than Labor’s, they will still deliver economic stimulus in the form of personal tax cuts and other initiatives. This is to be welcomed .....
Posted on: May 03, 2019
May is here, and as the weather begins to cool the political climate is heating up. The federal election on May 18 bookends a busy period on the national political and economic front which began with the Budget on April 2.
Australian financial markets were surprised by an unexpected fall in inflation. The Consumer Price Index, Australia’s main inflation measure, fell from an annual rate of 1.8 per cent to a record low of 1.3 per cent in.....
Posted on: April 03, 2019
Paving the way to an election
Treasurer Josh Frydenberg has delivered a ‘back in the black’ Budget aimed squarely at voters, stressing the Morrison Government’s commitment to financial discipline and low taxes.
As expected, the Treasurer signaled sweeping tax cuts and major infrastructure spending if the Coalition wins the upcoming federal election widely expected to be held in May.
This largesse is made possible as the Budget .....
Posted on: April 03, 2019
Growing concerns about a slowdown in global economic growth preoccupied financial markets in March. The US Federal Reserve now forecasts no rate rises in 2019 instead of the two it previously planned. US 10-year government bond yields fell below 3-month yields on the news. This ‘inverted’ yield curve is viewed by markets as an historical predictor of recession.
In Australia, economic growth slowed to 0.2 per cent in the De.....
Posted on: December 11, 2018
December is upon us and summer has arrived with bushfires in Queensland and flooding rains in NSW. Our best wishes go out to all those affected as well as our brave emergency services workers. And to all our clients, we wish you a safe and happy holiday season.November was a month of surprises. Oil prices plunged 22 per cent to US$58.73 a barrel after US President Donald Trump’s decision not to sanction Saudi Arabia over the murder of Jamal Khash.....
Posted on: October 02, 2018
October is here, which means football fever and the holiday long weekend are behind us as we enter the final stretch towards Christmas. It’s traditionally a busy time for households and on the business and economic scene, as we prepare for the end of another year.As expected, the US Federal Reserve lifted interest rates for the 8th time in September, by 0.25 per cent to a target range of 2.0-2.5 per cent. The US economy is growing strongly, with .....
Posted on: September 05, 2018
Newsletter September 2018September is upon us and spring is in the air. Our farmers and firefighters will be hoping for some soaking rain to ease the drought and ward off bushfires. Meanwhile, AFL and NRL fans will be hoping the sun shines on their team this finals season.Economic news was overshadowed by political instability in August, culminating in Scott Morrison being sworn in as Australia’s 6th Prime Minister in 11 years. Morrison is seen a.....
Posted on: August 14, 2018
As August rolls around and the weather begins to warm up, our thoughts are with the nation’s farmers. Many are battling a prolonged drought and wishing for rain.On the domestic front, the corporate earnings season is approaching at a time when Australian shares are trading at 10-year highs. The lower Australian dollar, down 5 per cent this year to US74c in late July, should help boost companies with offshore earnings.Inflation remains benign with.....
Posted on: July 03, 2018
July is here along with freezing temperatures and good snowfalls in the south and east of the country. Meanwhile, temperatures are sizzling in Russia for the football World Cup where the finals are looming, although not for the Socceroos who are headed home.As the financial year ended, Australian investors had reason to be optimistic despite ongoing global tensions. Our economy grew 1 per cent in the March quarter, lifting the annual growth rate .....
Posted on: June 18, 2018
Winter 2018Australia’s national economic agenda in May was dominated by the Federal Budget and the promise of tax cuts. Consumers rode a wave of optimism until the final week of May when the ANZ/Roy Morgan consumer confidence index fell for the first time in 7 weeks, down 3.2 per cent to 117.7. Confidence is up 4.3 per cent this year, with the late pull-back attributed to a cooler sharemarket, rising fuel prices and on-again off-again US-North Ko.....