Quality Investment Advice

Email: jmis@jmis.co.nz | Call us: +64 9 308 1450

Economic Reports

ECONOMIC & INVESTMENT MARKET REPORT - NOVEMBER / DECEMBER 2017

Even though the current bull market in shares is now over eight years old, we believe that the risk of an imminent global bear market is not high.

ECONOMIC & INVESTMENT MARKET REPORT - OCTOBER / NOVEMBER 2017

Although economic activity has gathered pace this year and many advanced economies are approaching full employment, surprisingly there is no general evidence of a pick-up in wage inflation around the world. Average wages growth has remained exceptionally sluggish even in countries such as Germany and Japan, where the unemployment rate is at multi-decade lows. It has actually fallen in recent months in the US.

ECONOMIC & INVESTMENT MARKET REPORT - SEPTEMBER / OCTOBER 2017

Earnings momentum is now positive for all major equity regions and we expect this to continue, supported by a solid economic backdrop. A normalising global economy should allow central banks to unwind their ultra-accommodative interest rate policies. We believe that long bond yields are set to rise further during 2017 and 2018.

ECONOMIC & INVESTMENT MARKET REPORT - AUGUST / SEPTEMBER 2017

From an economic perspective, the global economy appears to be in good heart. The environment for equities remains broadly neutral, as central banks unwind their stimulatory policies in response to improving growth prospects rather than the need to stamp out any problematic rising inflation. However, even though interest rates are starting to rise, bonds are not yet particularly attractive. A balanced and diversified approach to investment remains appropriate: as well, clients should remain close to their benchmark targets for risk control.

ECONOMIC & INVESTMENT MARKET REPORT - JULY / AUGUST 2017

From an economic perspective, the global economy appears to be in good heart.  However, there is presently an element of complacency in financial markets where volatility indices are at record lows. While there are no real signs of an imminent economic recession, the usual precursor of a ‘bear’ equity market, investor complacency leaves little room for error when equity markets are at record highs.

ECONOMIC & INVESTMENT MARKET REPORT - JUNE / JULY 2017

The environment for equities remains broadly neutral, as central banks unwind their stimulatory policies in response to improving growth prospects rather than the need to stamp out any problematic rising inflation.