8th April 2020 – Market Update

Please enjoy a small snapshot of current global market economic conditions that currently affect Australian stocks, property and personal wealth.

This summary is taken from our Weekly Client Investment Report that we send to our SFR Advisory clients to help them keep up to date with the market. We have been managing some of our clients investment portfolios for over 25 years.

If you are looking for a Financial Advisor please don’t hesitate to contact our office (08 9220 5220) where we can help you with estate planing, taxation, superannuation, property and direct equities.

PROs

  • Australia coronavirus number beats all government projections.
  • Saudi-Russian oil talks & US-China trade agreement gives hope to markets.
  • Australian government’s massive rescue package supports markets
  • Central banks globally will commence QE by buying corporate debt & keeping retail banks lending.
  • RBA to hold historically low rates (0.25%) for the medium term.
  • Aussie dollar slumps to 17-year low (making Australian goods & services cheap).
  • SFR Market Assessment Chart suggests our equity market is good value (Page 5 of our SFR client investment report).

CONs

  • Bank dividends under threat.
  • Economic consequences of global shutdowns incomprehensible.
  • Global recession almost certain.
  • Australian economy technically in recession.
  • Market volatility index (VIX) suggests more volatility to come.
  • Economic downturn from Coronavirus to continue.

Disclaimer: SFR Property Professionals does not give any warranty in relation to the accuracy of the information contained in this report. If you intend to rely upon the information contained herein, you must take note that the information, figures and projections have been provided by various sources and have not been verified by us. We have no belief one way or the other in relation to the accuracy of such information, figures and projections. SFR Property Professionals will not be liable for any loss or damage resulting from any statement, figure, calculation or any other information that you rely upon that is contained in the material. © SFR Property Professionals 2020. Please note that this is not a recommendation to buy, hold or sell. This report is generated from SFR Advisory Group Pty Ltd, a certified financial services company. If you want to make adjustments to your portfolio please contact your Financial Advisor.