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29 June 2019 (CNBC online) – By the numbers: Best June for the Dow since 1938, S&P 500’s best first half in two decades

(29 June 2019, CNBC online Fred Imbert) ‘Key Points: The Dow Jones Industrial Average rallied 7.2% this month, notching its best June performance since 1938. The S&P 500 posted its best first half of a year since 1997, soaring 17.3% and reaching an all-time high. Semiconductor ETF (SMH) notched biggest one-month gain since September 2010. … Continue reading

29 June 2019 (AFR) – Housing party is just getting started – With property prices on the turn and banks unlikely to pass on full rate cuts, it seems inevitable that the RBA will expand its monetary policy toolkit

(29 June 2019, AFR, p33,  Christopher Joye, Columnist) ‘House prices are climbing again in some areas with Melbourne home values up 0.1 per cent in June in what is the first capital gain the city has recorded since November 2017. According to CoreLogic, Sydney has also experienced its best monthly result (-0.1 per cent) since … Continue reading

29 June 2019 (AFR) – Building and construction industry in deep crisis over insurance

(29 June 2019, AFR, p8, Su-Lin Tan and Michael Bleby) ‘Australia’s building industry and insurance crisis deepened on Friday after residents of the defective Opal Tower in Sydney were slapped with a $2 million building insurance bill and the NSW government moved to allow building certifiers to keep practising despite cladding-related exclusions. The cladding-related exclusions … Continue reading

29 June 2019 (AFR) – Housing credit sets another record low

(29 June 2019, AFR, p6, Matthew Cranston, Economics correspondent) ‘Housing credit growth has slowed just 3.7 per cent – the lowest since Reserve Bank records began in 1976. The annual read comes after another slow month of just 0.2 per cent credit growth in housing dragged down by lower growth in both investor and owner … Continue reading

29 June 2019 (AFR) – ASX: Trade war caution weighs on ASX

(29 June 2019, AFR, p35, William McInnes, Reporter) ‘Australian shares moved lower this week as investors traded cautiously in the lead up to the G20 summit, wary of an escalation of US-China trade tensions. The S&P/ASX 200 Index closed the week 32 points, or 0.5 per cent, lower at 6618.8 while the broader All Ordinaries … Continue reading

29 June 2019 (AFR) – Twin obsessions to take market higher as fiscal year dawns

(29 June 2019, AFR, p26, Sarah Turner, Reporter) ‘Income and growth-obsessed investors, emboldened by cheap money, have powered the S&P/ASX 200 to its best fiscal first-half performance in almost 30 years, with the market’s record high in sight as the new financial year dawns. Investors piled into stocks over the year firm in the view … Continue reading

27 June 2019 (AFR) – Sydney house prices to grow 7pc by end of 2020

(27 June 2019, AFR, p3, Ingrid Fuary-Wagner, Reporter) ‘The residential property market will start to recover from a two-year downturn in the second half of this year with house prices in Sydney to grow 2 per cent by Christmas followed by up to 5 per cent growth in 2020. According to Domain Group’s latest property … Continue reading

26 June 2019 (AFR) – Cladding crisis threatens development as consultants lose insurance

(26 June 2019, AFR, p36, Michael Bleby, Senior Reporter) ‘The combustible cladding crisis is threatening to disrupt the development industry, putting projects at risk as building certifiers and fire engineers become uninsureable, and prompting state governments to step in as the insurer of last resort. The dire state of Australia’s professional indemnity insurance market for … Continue reading

24 June 2019 (AFR) – Auctions keep post-election energy

(24 June 2019, AFR, p9, Su-Lin Tan, reporter) ‘Sydney and Melbourne auctions have kept up their post-election energy but low auction volumes are likely to weaken the market pulse while house prices are still largely flat. This is the second month of a steady lift in housing activity since the federal election and Sydney posted … Continue reading

24 June 2019 (AFR) – Infrastructure boom runs short of engineers, electricians and steel

(24 June 2019, AFR, p1, Michael Bleby and Liz Main) ‘Sebastien Fleury could double his workforce tomorrow. Fleury, the regional head of Aecom’s rail infrastructure work, oversees signalling engineers on projects such as Melbourne Metro Rail, the level crossing removals, V-line regional rail and Yarra Trams. With a $100 billion infrastructure boom in Victoria, Fleury … Continue reading

22 June 2019 (AFR) – ASX soars as central banks turn dovish

(22 June 2019, AFR, p33, William McInnes, Reporter) ‘A potential trade war truce and the prospect of lower interest rates globally and in Australia pushed shares higher this week. The S&P/ASX 200 Index, which came within 150 points of an all-time high on Thursday, rose 96.8 points, or 1.5 per cent, to 6650.8 this week. … Continue reading

22 June 2019 (AFR) – Cheaper money pushes investors into riskier positions

(22 June 2019, AFR, p22, William McInnes, Reporter) ‘Global sharemarkets were pushed to record highs this week as dovish central banks herded buyers into the equity markets, with expectations of cheaper money and additional stimulus pushing investors into riskier positions. Investor optimism was also buoyed by hopes a US-China trade war truce could be reached … Continue reading

22 June 2019 (AFR) – Aussie gold price breaks through $2000 for first time

(22 June 2019, AFR, p27, Luke Housego, Reporter) ‘Gold in Australian dollar terms soared past the $2000 an ounce mark for the first time on Friday, with the extended rally in the safe haven asset taking the shares of Australian gold miners along for the ride. The precious metal also broke past $US1400/oz, its highest … Continue reading

21 June 2019 (TheAge) – Gold jumps to a record high above $A2000 landmark

(21 June 2019, The Age, Business, p24, By Darren Gray) ‘Geopolitical tensions, anticipated cuts to interest rates in the United States and the purchase of gold by central banks have helped push the price of gold past the $A2000 mark for the first time.’ Read more at TheAge.com.au

21 June 2019 (TheAge) – ‘Enormous downgrade’: Caltex tanks as bleak economy hits its profits

(21 June 2019, The Age, Business, p24, By Nick Toscano) ‘Caltex Australia has warned its first-half profit will more than halve from last year’s, sending its shares tanking as the company grapples with a slowing economy and pressure on its refining margins. The petrol station giant suffered its sharpest share-price drop in 30 years on … Continue reading

21 June 2019 (TheAge) – Imminent rate cut on cards as RBA says job market not strong enough

(21 June 2019, The Age, p8, By Shane Wright and Eryk Bagshaw) ‘The Reserve Bank of Australia is considering an urgent follow-up cut in official interest rates, declaring current settings are failing to make inroads into the economy while admitting heavily indebted households could be weighing on the jobs market. In a sign of the … Continue reading

21 June 2019 (CNBC) – S&P 500 closes at new record as Wall Street bets Fed will lower rates, Dow surges nearly 250 points

(21 June 2019, CNBC online, Fred Imbert) ‘Stocks rallied on Thursday, led by strong gains in tech and energy shares, as Wall Street cheered the possibility that the Federal Reserve will cut interest rates next month. The S&P 500 surged 1% to 2,954.18, a record close. The broad index also hit an intraday record of 2,958.06. … Continue reading

21 June 2019 (AFR) – End of the iron ore age as exports slump

(21 June 2019, AFR, p17,Peter Ker, Resources reporter) ‘Annual exports from Australia’s big iron ore triumvirate will fall for the first time in history, as analysts declared iron ore prices had passed their peak for the year on the back of a Brazilian mine restart. A fresh downgrade to Rio Tinto’s iron ore export guidance … Continue reading

20 June 2019 (TheAge) – Iron ore price is defying gravity, and nothing is bringing it down to earth

(20 June 2019, The Age, Business, p25, Elizabeth Knight) ‘The price of iron ore continues to defy both gravity and the warnings from a plethora of technical financial analysis that the metal price is in bubble territory. But tell that to the thousands of investors with shares in BHP, Rio Tinto and Fortescue. For them, … Continue reading

20 June 2019 (TheAge) – US-China trade talks send ASX soaring

(20 June 2019, The Age, Business, p29, By Luke Housego) ‘Hopes of a de-escalation in the trade dispute between China and the US drove Australian shares higher on Wednesday, after both regimes agreed to hold talks on the side of the G20 meeting in Japan next week. The benchmark S&P/ASX 200 climbed 78.1 points, or … Continue reading

20 June 2019 (AFR) – Global money managers go defensive

(20 June 2019, AFR, p29, William McInnes, Reporter) ‘Global fund managers are the most bearish they’ve been since the global financial crisis as pessimism over the trade war and “monetary policy impotence” has shattered investor confidence. The latest Bank of America Merrill Lynch Global Fund Manager Survey showed professional investors were rotating out of risky … Continue reading

20 June 2019 (AFR) – US-China trade talks send ASX soaring

(20 June 2019, AFR, p28, Luke Housego, Reporter) ‘Hopes that the trade dispute between China and the US would settle down drove shares higher on Wednesday, after both regimes agreed to hold talks on the side of the G20 meeting in Japan next week. The benchmark S&P/ASX 200 climbed 78.1 points, or 1.2 per cent, … Continue reading

20 June 2019 (AFR) – Rate cuts won’t ease CEOs’ world of worry

(20 June 2019, AFR, p15, Simon Evans, Senior Reporter) ‘The chief executive of Australia’s biggest labour hire company says more interest rate cuts are unlikely to fire up a ”flat” economy because businesses grappling with automation, red tape and globalisation are uncertain about future pay-offs from capital investment.’ Read more at AFR.com (might need AFR … Continue reading

20 June 2019 (AFR) – Easing trade concerns set ASX soaring to near record high

(20 June 2019, AFR, p15, William McInnes, Reporter) ‘Australian shares surged towards a record high on Wednesday as trade tensions between the US and China showed signs of easing for the first time in several weeks. Indications global central banks would move toward a more accommodative monetary policy added to the positive sentiment, pushing the … Continue reading

20 June 2019 (AFR) – Japan exports slide for sixth month as global slowdown takes toll

(20 June 2019, AFR, p12, Tetsushi Kajimoto and Daniel Leussink) ‘Tokyo | Japan’s exports fell for a sixth straight month in May as China-bound shipments of semiconductor manufacturing equipment and car parts weakened, in a sign of a deteriorating outlook for growth as the trade-reliant economy faces persistent pressure from slowing external demand. Sluggish exports … Continue reading

20 June 2019 (AFR) – Trump to hold ‘extended meeting’ with Xi at G20 next week

(20 June 2019, AFR, p11, Jacob Greber, United States Correspondent) ‘Washington | Donald Trump has revived hopes for a US-China trade deal, sending stocks soaring, after he and China’s president Xi Jinping agreed to hold “extended” talks in Japan at the end of the month. Mr Trump announced the meeting after “a very good telephone … Continue reading

20 June 2019 (AFR) – Rate cut, election result fail to brighten outlook

(20 June 2019, AFR, p8, Matthew Cranston, Reporter) ‘The federal election result and a historic interest rate cut have not been enough to reverse the negative outlook for the economy, with the Westpac-Melbourne Institute Leading Index forecasting below-trend growth over the next three to nine months. The index incorporates measures including sharemarket movements, consumer sentiment, … Continue reading

19 June 2019 (TheAge) – RBA rate cut prospects drive ASX gains

(19 June 2019, The Age, Business, p29, By Luke Housego) ‘Rising expectations of further interest rate cuts drove Australian shares higher on Tuesday, as the Reserve Bank’s minutes from its June meeting revealed the possibility of two rate cuts before the end of the year. The benchmark S&P/ASX 200 advanced 39.1 points, or 0.6 per cent, … Continue reading

19 June 2019 (TheAge) – More rate cuts loom for ailing economy – CBA tips rates to hit 0.75% within months as RBA signals further cuts

(19 June 2019, The Age, p1, By Eryk Bagshaw and Shane Wright) ‘Australia’s biggest lender has predicted interest rates will fall below 1 per cent by November, as the Reserve Bank looks to jolt the economy out of a stupor while Parliament argues over tax cuts. The Commonwealth Bank jumped on signals from the central … Continue reading

19 June 2019 (AFR) – Bricks-and-mortar retail future bright: Colliers

(19 June 2019, AFR, p36, Larry Schlesinger, Reporter) ‘Despite rising vacancy rates and falling rents, bricks-and-mortar retail stores have a strong future in Australia, commercial real estate group Colliers International has asserted in its latest market outlook report. The group’s Retail Research and Forecast Report for the first half of 2019 shows only a handful … Continue reading