Category: Politics

Making Sense Of The Senseless?

The latest edition of our finance and property news digest with a distinctively Australian flavour.

Go to the Walk The World Universe at https://walktheworld.com.au/

In our latest market update we scan the markets as usual, and it seems to me, finally the markets are beginning to wake up to the huge downside risks which are inherent in an over-valued inflation driven, conflict strewn environment. And it is worth remembering that many “professional” investors earn money facilitating the trades of other investors, so they still have a vested interest in talking the markets back, or higher. For now, there is no reason to think the dip is over.

Indeed, Wall Street fell at the end of a volatile week on Friday as the war in Ukraine overshadowed an acceleration in U.S. jobs growth last month that pointed to strength in the economy. Equities briefly rebounded from session lows in early trading after stronger-than-forecast American jobs data. The greenback rose to the highest level since 2020 and Treasury 10-year yields slumped to 1.7 per cent.

So, stocks dropped, while the dollar climbed with bonds as concerns that war risks are intensifying roiled markets around the globe. Commodities pushed higher amid fears of supply crunches, heading toward their biggest weekly surge since the 1974 oil crisis.

Wars + Inflation + Financial Crisis = ?

My latest Friday afternoon chat with Journalist Tarric Brooker, as we explore the latest charts on the economy and more. Current events are getting more wild, to the point that had they been in a Hollywood plot, critics would have panned it. Tarric is @AvidCommentator on Twitter.

Slides here: https://avidcom.substack.com/p/charts-that-matter-4th-march-2022?s=r

Go to the Walk The World Universe at https://walktheworld.com.au/

Is The Bottom In?

In this weeks market update, which is overshadowed by the action in Ukraine, we consider whether the markets are looking past Russia’s intervention.

The spike in volatility through the week triggered wild swings in global shares, commodity prices and safe haven assets, including government bonds and gold, as investors recalibrated their positioning.

Well certainly U.S. stocks jumped for a second day on Friday with the Dow up more than 2% in afternoon trading and Oil prices fell back below $100 a barrel, easing some concerns about higher energy costs.

The latest edition of our finance and property news digest with a distinctively Australian flavour.

Go to the Walk The World Universe at https://walktheworld.com.au/

The Hidden Hand Of Digital Control

I have been discussing the rise of Central Bank Digital Currencies over the past few years, and we know that in Australia the Treasury is now actively exploring the implementation of a digital Aussie Dollar for consumer use. This mirrors efforts underway in other countries, including both the UK and USA.

Canada Deputy Prime Minister and Minister for Finance Chrystia Freeland announced the government is broadening the scope of the country’s anti-money laundering monitoring and terrorist financing laws to cover crowdfunding platforms and the payment service providers they use. “These changes cover all forms of transactions, including digital assets such as crypto currencies,” she announced during a recent press conference. To underscore the point, the Canadian government made it clear on Monday that it would target cryptocurrency alongside traditional transactions.

But consider how much easier it would be to control the access to money if it was sitting in a Central Bank Digital Currency Account. Potentially total transparency, and control.

The Canadian experience underscores for me the importance of safeguarding our financial system, and we should be aware of the grave risk which exists from those in Government and the Security Services which wants more direct control.

Go to the Walk The World Universe at https://walktheworld.com.au/

The Ugly Truth About Bank Closures In The Regions

We cover an important article by Dale Webster about the shocking reduction in bank branches in regional and rural areas across Australia. This is going to be a significant election issue, with a new Government report due in about a months time.

Regional Australia has lost close to two thirds of its bank branches since the network was at its peak in the 1970s, according to lists published by the banks that have become the ‘big four’ in 1975.

Numbers have gone from 2802 banks in 1126 regional locations to just 1075 in 387 regional towns, cities and coastal communities in just over 45 years.

That is a loss of 1727 bank branches, or a cut of 62 per cent.

ANZ now has the smallest regional bank network in Australia with just 194 of its original 615 branches outside metropolitan cities still open, a cut of 68.5 per cent.

Westpac has the second smallest regional footprint after slashing 70 per cent of non-metropolitan branches, leaving it with 231 from its original 777.

National Australia Bank has 315 regional branches still open but has closed 445, or 58.5 per cent of its original regional network of 760.

Commonwealth Bank is the only one of the ‘big four’ that still has more regional branches open than it has closed, with 335 of its original 650 remaining open, a 48.5 per cent reduction.

https://www.theregional.com.au/

Go to the Walk The World Universe at https://walktheworld.com.au/

DFA Live Q&A HD Replay: Financial Fig Leaves: With Robbie Barwick

This is an edited version of a live discussion on the financial system, who runs it, and for what end, with Robbie Barwick, National Research Director Australian Citizens Party. https://citizensparty.org.au/our-party/our-team

We covered ASIC, APRA, and RBA, Deposit Bail-In, Investor Protection And Glass-Steagall among other topics.

Go to the Walk The World Universe at https://walktheworld.com.au/

CBA, The “S” Word, And Why They Want Slow Rates Rises…

Today we look at the CBA’s outlook on interest rates, and mortgage stress, as well as the latest from New Zealand on home price and sales growth as both slow.

Go to the Walk The World Universe at https://walktheworld.com.au/

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