Globally as expected GDP contracted throughout the world’s largest economies in the second quarter of this year – Japan’s economy shrank by 7.8% being the world’s third-largest after the US and China; The US dropped by 9.5%.
Our markets were up yesterday on some strong earnings results (especially Healthcare and IT) and hope for a larger than first expected US stimulus package. The S&P ASX 200 closed at 6123.4. The Aussie dollar is trading at US 72.3c.
Miners are continuing to enjoy record Iron Ore prices at $US 122/t. To put this into perspective the Federal Government assumes $US 55/t for budget purposes. And the next world-class iron ore producer doesn’t come on-line for 5-7 years at best (being Simandou in Guinea), which has forecasters bullish.
Gold is also up 30% in the last 6 months floating around $US 2,000/ounce. The Super Pit just keeps getting bigger.
Great news for the tourism and entertainment sectors with BankWest reporting “overall business turnover topping pre-COVID levels”. Let’s keep supporting local businesses!
China’s investigation into wine dumping is concerning but will be vigorously defended.
The Property Council has revealed Perth’s CBD commercial vacancy rate is at 18.4% for the six months to July 2020. This is double the national average, but the vacancy rate must be looked at in sectors, many buildings remain fully occupied.
The Perth residential rental vacancy rate has dropped to a 12 year low of 1.6%.
In home opens buyers are still complaining of limited stock.
Call me for a plan that will get buyers fighting over buying your home.
Authored by Jody Fewster
Please call 0414 688 988 if I can provide you with a current market appraisal and detailed marketing plan for your home or investment property.
A cautionary tale from the RAB; great news for property prices… Globally, Europe and the US are suffering second waves of C-19, which is wreaking havoc on their economies. All eyes are on the US Election while counting is underway as I type. As expected the RBA cut the official cash rate to 0.1 percent plus … Read more
A rate cut and quantitative easing on the way… US election uncertainty and Europe’s rising COVID-19 cases weighed on our markets yesterday with the S&P ASX-200 trading little changed, as I type, at 6,194. The Aussie dollar has edged down towards US 70c. China continues to help the shattered global economy … Read more