Wry & Dry #3-27
Victorians were reminded that the Commonwealth Games and a bucket of cash were given to a village in Scotland. Meanwhile potholes in Victoria’s roads reproduce themselves. A sporting event in the USA was watched by millions of insomniacs. The UK has a new PM, who, unlike his predecessor, has a pulse. The ASX realises that its role is to price securities, not implement social policy. And Trumpster’s Iranian ceasefire successfully pushes the price of oil above $100.
Company profit reporting season, economic illiteracy and credit – a volatile mix
Company profit reporting season is imminent, with significant updates expected from Commonwealth Bank and Woolworths.
Australian reporting seasons have become volatile, influenced by increased interest rates, high inflation, and changing economic conditions.
A recent RBA survey highlights economic illiteracy among Australians, particularly regarding the impact of higher interest rates on inflation and asset prices.
The Federal Budget introduced changes to negative gearing and capital gains tax, affecting property investment dynamics.
The upcoming reporting season will reveal how the economic picture from the Budget aligns with real market conditions, especially regarding credit and housing trends.