Kapiti Financial Advice Limited – KiwiSaver and Investment
The resilience of the US economy remained a feature of financial markets during July. Economic data generally exceeded expectations, supported by steady consumer spending, a healthy labour market and ongoing business investment. The continued run of stronger-than-expected economic data has reinforced the view that the US economy remains more resilient than many anticipated at the … Read more
Global sharemarkets moved higher through June, rounding out a strong June quarter and first half of the year. Markets have continued to look through the geopolitical headlines – the ongoing conflict in the Middle East, concern over oil supply, and uncertainty around global central bank policy. Instead focusing on better-than-expected US economic activity, stronger US … Read more
In its Annual Economic Report, the Bank for International Settlements has highlighted four pressure points for the global economy. The Bank advised that financial markets have remained buoyant, despite recent challenges associated with conflict in the Middle East, reflecting expectations that the disruptions will be short-lived and that the AI boom will continue. In its … Read more
Global sharemarkets moved higher through May on resilient corporate earnings and the prospect of an end to the conflict in the Middle East. A strong US first-quarter earnings season saw global sharemarkets remain more resilient than the economic headlines alone might suggest, led by technology companies. Results from Alphabet, Meta, Amazon, Microsoft, and NVIDIA reinforced … Read more
The escalation of tensions in the Middle East is a continuation of geopolitical events since the beginning of the year. Nevertheless, global share markets rose during February. Emerging markets, Europe and Japan were once again among the better performing regions. The US sharemarket was weighed down by uncertainty surrounding the larger technology companies as concerns … Read more
October was characterised by US-China trade tensions and increasing concerns over the sustainability of the AI investment boom. Nevertheless, global equity markets demonstrated resilience, buoyed by strong corporate earnings, central bank’s interest rate cuts, and the prospect of increased government spending in Japan and Europe. New Zealand’s sharemarket rose 1.9% in October, boosted by lower … Read more
Global equity markets moved higher in September on better-than-expected US economic activity data, AI optimism, and a reduction in the US federal funds rate. Global bond markets benefited from the lower federal funds rate and longer-term interest rates fell on soft US employment data. The New Zealand sharemarket moved higher on improved investor sentiment as … Read more
Global sharemarkets rose 2.2% in July. US markets led the way on favourable corporate earnings updates, particularly better than expected profit updates from the technology giants Microsoft, Apple, Alphabet, and Meta. Microsoft’s value rose to over US$4 trillion following its profit update. Apple reported strong revenue growth, helped by consumers rushing to buy iPhones ahead … Read more
A calming of trade tensions between the US and China, a quick resolution to the Israel – Iran conflict, and the prospect of the US Federal Reserve (Fed) cutting interest rates allowed US share markets to rise in June. As the year progresses US policy uncertainty is expected to diminish as the Trump administration focusses … Read more
Global financial markets were calmer in May, following extreme volatility in April. The US S&P 500 Index led global sharemarkets higher, gaining 6.2%. There is a risk that no clarity is gained on the outcomes of trade negotiations by the end of the year. It is also possible that Trump will persevere with his Liberation … Read more