Next Investors logo grey

Tonight is fiscal policy night

Published 02-APR-2019 09:40 A.M.


1 minute read

Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.

In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.

The below articles were written under our previous business model. We have kept these articles online here for your reference.

Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.

Click Here to View Latest Articles

Today we have a rare double. At 2:30pm, the Reserve Bank updates us on their monetary policy stance and then at 7:30pm this evening the Federal Treasurer will deliver his fiscal policy.

Monetary policy is still stimulatory and the Treasurer is facing a slowing economy and an election so there will be no surprises if he splashes a bit of cash about. One hopes that it is more than that and they are focused on the long term prosperity of the nation rather than buying a few votes.

Global equity markets rose yesterday buoyed by manufacturing reports from China and the US both of which surprised to the upside.

The poor February US retail sales report did not seem to bother investors who continued to push prices higher into the close. Retail sales surprised economists with a drop of 0.2% versus their forecasts of a 0.3% rise. Given the very large contribution to GDP of sales, one might have expected a reaction in the markets.

Oil was the big mover overnight rising 2.6% after a report showing slower output in the US. The major US indices are up around 1.2% and our futures are suggesting a 36 point rise today. The Australian Dollar is still defying gravity at US$0.7113 and our bonds are at 1.40% for the 3s and 1.80% for the 10s.

General Information Only

S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.

Conflicts of Interest Notice

S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.

Publication Notice and Disclaimer

The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.

Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.

This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.