Is there “fog on a runway”?

1 year ago•By Jody Fewster

The S&P/ASX 200 hit a fresh intraday record this morning at 8639.1 on encouraging news of a trade truce between the US and China. Trump now seems focused on the Art of Distraction over the Art of the Deal.
The Aussie dollar is now at US .651c (up 8% since April) and investment outflows from the US continue to weaken the greenback.
The World Bank has reduced its forecast for global growth for 2025 by .4% to 2.3%, stating that higher tariffs and heightened uncertainty posed a “significant headwind” for nearly all economies. Their deputy Chief Economist likened uncertainly to “fog on a runway… it slows investment and clouds the outlook”.
With our economy at a crawl and continuing global uncertainty on multiple fronts, bets are now firming for the RBA to reduce our rates another three times this year. So watch out for the July 8 meeting.
On the commodities front, Gold is at $US 3,327.58 with recent short-selling activity suggesting some investors are calling the peak. Iron Ore is $US 94 a tonne awaiting the actual results of the US-China talks in London.
The local property market is slowing as it does at this time of the year. However, with only 2,540 homes to choose from in Perth, buyers are still limited in choice.
Call me on 0414 688 988 to plan how we can make your home shine over this winter selling season.

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