Digital Finance Analytics (DFA) Blog
"Intelligent Insight"
This is an edited version of a live discussion about the current property market with Veronica Morgan from Good Deeds and The Elephant in the Room Podcast.
Go to the Walk The World Universe at https://walktheworld.com.au/
A quick market update and a deep dive in the UK’s budget announcement, which was as political as it gets! The headline is households will go backwards, as unemployment rises, and a 2-year recession is likely. Worse, personal income tax bands are frozen, so the total tax take will be bigger than ever!
Investment allowances have been cut, and the future Government spending cuts have been pushed out beyond the next election.
The cost of debt to the Government rises.
This scenario is one we should expect to see playing out in other economies too. Living standards will drop.
Today’s post is brought to you by Ribbon Property Consultants.
My latest chat with our Property Insider, as prices in NSW get a kick-up from the stamp duty changes, China stops more migration and auctions are not what they seem.
https://www.ribbonproperty.com.au/
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My latest chat with Journalist Tarric Brooker, as we answer questions relating to inflation, on the day after the latest data from the US was lower than expected. So, we examine why that is, and what the implications may be.
Sides available here: https://avidcom.substack.com/p/charts-that-matter-11th-november
Go to the Walk The World Universe at https://walktheworld.com.au/
The latest from our property insider Edwin Almeida. We look at the latest listings numbers, the auction of 2022, and all the normal Monday stuff…
https://www.ribbonproperty.com.au/
Go to the Walk The World Universe at https://walktheworld.com.au/
The Bank of England raised interest rates by the most since 1989 on Thursday but warned investors that the risk of Britain’s longest recession in at least a century means borrowing costs are likely to rise less than they expect.
The BoE increased Bank Rate to 3% from 2.25% and warned that the British economy might not grow for another two years – the longest slump in records dating back to the 1920s – if rates were to go up by as much as markets have recently bet. The pound tumbled after the decision, while London-listed stocks fell and UK bonds came under pressure.
“We can’t make promises about future interest rates but based on where we stand today, we think Bank Rate will have to go up by less than currently priced in financial markets,” Governor Andrew Bailey said, in an unusually blunt message.
The BoE said it now expects inflation will hit a 40-year high of around 11% during the current quarter, more than five times its 2% target. But it also thinks the economy has entered a recession that could mean it contracts in both 2023 and 2024 and shrinks by 2.9% in total.
Go to the Walk The World Universe at https://walktheworld.com.au/
Today’s post is brought to you by Ribbon Property Consultants.
I discuss the fallout from the RBA rate hikes with Steve Mickenbecker from Canstar.
We look at strategies to alleviate the pain of higher rates, the risks within some approaches and the broader issues of negative equity and mortgage prisoners.
Steve Mickenbecker is in Canstar’s Group Executive Team, bringing more than 30 years of experience in the Australian financial services industry. As a financial commentator for Canstar, Steve enjoys sharing his expertise across topics such as home loans, superannuation, insurance, mortgages, banking, credit cards, investment, budgeting, money management and more.
https://www.canstar.com.au/team-members/steve-mickenbecker/
Go to the Walk The World Universe at https://walktheworld.com.au/
The Superannuation system is not fit for purpose, as many are finding out as balances decline, while fees do not but forced contributions increase. So today we look at data provided by APRA on fund performance (down more than 4% in the quarter to June 2022, and further now). And we feature an important contribution from Senator Gerard Rennick who addressed The Senate last week on this important issue.
Go to the Walk The World Universe at https://walktheworld.com.au/
Another rant from our property insider Edwin Almeida. We look at some of the property auctions in Western Sydney, including some where there was a real crowd, and others where there were no bids.
We also look at the latest from China, the listings down the east coast and another tip for prospective buyers.
https://www.ribbonproperty.com.au/
Go to the Walk The World Universe at https://walktheworld.com.au/
My latest Friday afternoon chat with Journalist Tarric Brooker. We look at the latest charts, and discuss where things are going.
You can see the charts here: https://avidcom.substack.com/p/charts-that-matter-28th-october-2022
Tarric’s upcoming event is here: https://cloud.go.pepperstone.com/pepp-talks-melb-nov-2022
Go to the Walk The World Universe at https://walktheworld.com.au/
