It’s August and we are into the final month of an unusually balmy winter, after a record run of high temperatures for July in many states. Financial markets have also been running hot with new records set.
Global sharemarkets were riding high in July, fueled by higher than expected US growth, rising expectations that the US Fed would cut interest rates this month and hopes of further China-US trade talks.
On the flip side, global bond yields fell to record lows. Australian 10-year government bonds currently yield 1.21 per cent, down 1.45 per cent in 12 months.
The US S&P500 share index hit a new record high in July while Australia’s All Ordinaries Index and ASX200 finally broke through their 2007 record highs set before the GFC. Australian shares were also buoyed by the second cut in official interest rates in as many months, to a new low of 1 per cent. Rising iron ore prices (up 72 per cent in 12 months) and further falls in the Aussie dollar to below US69c also helped boost our export sector.
I would like to thank everyone who supported my Dry July – we raised our target of $1,000 and the whole Dry July campaign raise over $10 million to help support people suffering from Cancer.
Our big news for August is we’re in the process of building a new website. The current website will be decommissioned and the new website turned live by the end of the month!