Weekly Market Update 8 February 2019

Weekly Market Update 8 February 2019 Investment markets and key developments over the past week Global shares were flat to down over the past week not helped by weak economic data and trade uncertainty. Australian shares saw a strong rise though as the banks saw a Royal Commission relief rally, the prospect of RBA rate cuts provided a boost to retailers, industrial stocks and yield sensitives and miners continued to benefit from the surging iron ore …

Why growth in China is unlikely to slow too far and why it needs to save less and spend more

Why growth in China is unlikely to slow too far and why it needs to save less and spend more   Key points China’s economy is slowing but not collapsing as the services sector holds up. A further slowing is likely in the short term, but policy stimulus is likely to see growth improve in the second half, giving 2019 growth of 6.2%.   Concerns about China’s rapid debt growth are overstated given it reflects …

5 life insurance questions you’ve always wanted to ask

5 life insurance questions you’ve always wanted to ask What impact do factors like your weight, age and smoking status have on your ability to buy life insurance?  Life insurers take into account a number of different factors when assessing insurance applications, but asking your insurer about the impact these factors might have can sometimes be difficult. Here are the answers to some commonly held – but seldom asked – questions you might have about …

How to adult—a quick guide to personal finances in your 20s

How to adult—a quick guide to personal finances in your 20s Getting to grips with debt, budget and cash flow It’s a pity there’s no handy ‘How to’ book to teach you about adult life, especially when it comes to finances. It’s something that you need to learn on the job. To make the task easier, here’s a breakdown of the three trickiest areas to get to grips with in your twenties – debt, cash …

Aussie housing facing strong headwinds

Aussie housing facing strong headwinds The Australian housing market is in a more precarious position than the United States was before the global financial crisis (GFC), according to a new analysis from AMP Capital which shows households have frittered away record income rises by taking on debt to buy housing. Our mortgage-related debt is higher, property gross rental yields lower (suggesting over-valuation) and our prevailing interest rates are much lower leaving less buffer for interest …

6 ways to reduce your credit card debt once and for all

6 ways to reduce your credit card debt once and for all Here are some tips to start paying off your debt $45 billion. That’s how much Australians owe on their credit cards.i Now, perhaps that’s no drama if we’re not paying too much to access credit and we’re managing to avoid interest charges by paying back what we owe on time. But we paid a collective $1.5 billion in fees in 2016-17.i And we’re taking …

The skills you need for big money choices

The skills you need for big money choices Even when you’ve got the skills to budget for your household, making big financial decisions can seem beyond you. You might feel like you lack the knowledge or confidence to plan for your financial future, instead of just managing day-to-day. So just what is that holds you back from getting in control of your finances and feeling confident about your future? In a 2018 report from UBS, …

Weekly Market Update 18 January 2019

Weekly Market Update 18 January 2019 Investment markets and key developments over the past week Share markets continued to rise over the last week helped by talk of policy stimulus (notably in China) and optimism of a resolution to the US/China trade dispute. Bond yields rose in the US but were little changed elsewhere, commodity prices including oil rose and the $US rose slightly which saw the $A fall slightly. After a great rally since Christmas …

Econosights – An update on Brexit

Econosights – An update on Brexit Key points Brexit defeat could be a positive for the UK and Euro economies   Theresa May likely to survive vote of no confidence   The impact on Australia of Brexit uncertainty is minimal While Theresa May’s proposed Brexit plan suffered a large defeat in the UK parliament overnight, it may actually result in a “softer” Brexit outcome overall, which would be positive for the UK economy (and by …

2019 – a list of lists regarding the macro investment outlook

2019 – a list of lists regarding the macro investment outlook Key points Despite continued volatility, 2019 is likely to be better for diversified investors than 2018 was.   Recession is unlikely and so too is a long and deep bear market in shares.   Watch the US trade war, the Fed, global business conditions indicators, Chinese growth, politics and the Sydney and Melbourne property markets. Introduction 2017 was a great year for well diversified …