I can’t believe its four weeks since my last post so obviously its been a terribly busy period. Anyway, something I have completed is a market/economic update and if anyone’s interested you can download it here.
The update is probably consistent with what is being said everywhere…but either way…
- The mining investment boom is over and the RBA has decreased to a record low 2.5% to aid the economy moving forward
- The lower Australian dollar will help the economy, and should balance inflation in the face of a weaker labour market
- Markets believe another rate cut will occur by the end of the year
- The global economy is growing but not at strong levels
- Low interest rates for a long time so reduce your investment return expectations…particularly as assets get expensive as the chase for yield continues
- There’s bound to be an increase in risky asset volatility when Bernanke does finally begin to taper QE3 so don’t invest outside your risk tolerance