The Australian share market is likely to fall in morning trade, following a mixed performance on Wall Street.
However, the Nasdaq rose above 17,000 points for the first time ever, thanks to a jump in AI stocks including Nvidia.
The key focus will be today’s inflation data from the ABS, which may provide insights on how soon the Reserve Bank could start cutting interest rates.
See how the trading day unfolds on our blog.
Disclaimer: this blog is not intended as investment advice.
Key Event
Richard Fennell appointed CEO of Bendigo and Adelaide Bank
Bendigo and Adelaide Bank has appointed Richard Fennell as its new CEO and managing director.
Mr Fennell joined the bank in 2007, and has been its chief customer officer since 2018.
He’ll step into the top job on August 31, following the resignation of incumbent CEO Marnie Baker, who has worked at the bank for the last 35 years (including six as the chief executive).
Since the year began, shares of Bendigo and Adelaide Bank have jumped 17.7% to $11.42.
Wages failing to keep up with inflation and house prices
In case you missed it, here’s a recap of yesterday’s finance news by Alan Kohler.
As usual, there are some interesting charts — including one that shows the median property price in Australia is at record highs (and 45% higher than it was in early 2019).
In the past five years, consumer prices surged 20%, while wages rose 17%.
Record high stock markets are boosting Australian workers’ super balances
It turned out to be a stronger-than-expected financial year for many people’s retirement savings.
Super balances received a boost from stock markets (which are trading at or near record highs in many countries). That’s despite a cost-of-living crunch and worries about higher interest rates.
Banking, consumer discretionary and some tech stocks were the star performers, while supermarkets and lithium stocks didn’t do as well.
For more, here’s the report I filed for The Business:
‘Hundreds of thousands’ of tradies needed to prop up Australia’s construction sector
The construction industry has been rocked by high levels of insolvency and is expected to remain under pressure for some time.
Matt Mackey (from building consultancy Arcadis) says the sector is facing a multitude of headwinds.
It’s been plagued with expensive material costs, higher wages and interest rates, as well as a massive skills shortage.
Pair that with an unstable economy, and low sentiment among the sector has dashed any hopes of a construction recovery in 2024:
Key Event
Why property and stock markets are thumbing their noses at rate hikes
Despite a torrid round of interest rate hikes across the globe, and particularly the developed world, financial and property markets are still booming.
Even more startling is that employment has remained incredibly strong.
Economic growth may have slowed to a crawl but workers have so far been kept afloat by the best jobs market in close to half a century.
And that’s not just here. Our jobless rate is about 4 per cent, higher than midway through last year, but still at historically low levels. The US also has an unemployment rate of 4 per cent while the UK is sitting at 4.4 per cent.
While welcome, this has been totally unexpected. And it’s seen central bankers scrambling to try to nut out just why developed economies aren’t reacting to interest rate hikes the way they once did.
For more, here’s the latest column by the ABC’s chief business correspondent Ian Verrender:
Key Event
MCoBeauty has become a multi-million-dollar empire built on beauty dupes — after being sued twice
MCoBeauty has become a multi-million-dollar cosmetics empire, but its path to success hasn’t been without controversy due to its strategy of copying, or “duping”, popular beauty products.
The Australian cosmetics company is the brainchild of Sydney entrepreneur Shelley Sullivan. After years running a modelling and talent agency, Ms Sullivan pivoted into beauty by launching ModelCo in 2002.
Fast forward to 2016, and Ms Sullivan launched MCoBeauty, which has made a name for itself by openly pushing legal boundaries to duplicate trending, higher-end cosmetics, selling them at major retail outlets for a much lower price.
Duping is by no means a new practice in the beauty industry, and nor is MCoBeauty the only company that provides “dupes” of popular products — but the brand showed how far it was willing to go when it created its own version of a viral product by UK makeup brand Charlotte Tilbury.
For more, here’s this exclusive story by Kate Ainsworth and Emilia Terzon.
Key Event
ASX to slip, Wall Street boosted by tech giants
Good morning! I’ll be here to guide you through the latest business and economic news.
The local share market is likely to start its day lower, with ASX futures down 0.3%.
The Australian dollar fell 0.2% to 66.6 US cents.
In economic news, the Reserve Bank will publish the minutes of its mid-June board meeting.
Investors will be dissecting each word very carefully for clues on the likelihood of the RBA board lifting interest rates in the coming months.
However, this board meeting was held before last week’s ABS figures, which showed inflation rose by a higher-than-expected 4 % in the year to May.
Tech stocks drive US markets higher
That’s despite a solid performance on Wall Street, which saw the Nasdaq Composite advance 0.8%, while the Dow Jones gained 0.1%, and the benchmark S&P 500 rose 0.3%.
The Nasdaq was driven higher by megacap growth stocks, including Apple (+2.9%), Microsoft (+2%) and Amazon (+2.2%).
Tesla surged 6.1% ahead of its June-quarter vehicle delivery data (and investors have very high expectations).
Meanwhile, shares of JP Morgan Chase hit a record high, after after the biggest US hiked its dividend to US$1.25 a share (up from US$1.15). Its board also authorised $US30 billion in share buybacks, effective July 1.
Oil prices jumped 2% (to a two-month high) on expectations of rising demand during the Northern Hemisphere’s summer driving season and worries that conflict in the Middle East could spread and reduce global oil supplies.
Market snapshot
- ASX SPI futures: -0.3% to 7,721 points
- ASX 200 (Monday close): -0.2% to 7,749 points
- Australian dollar: -0.2% to 66.6 US cents
- Wall Street: Dow Jones (+0.1%), S&P 500 (+0.3%), Nasdaq (+0.8%)
- Europe: FTSE (flat), DAX (+0.3%), Stoxx 600 (+0.3%)
- Spot gold: +0.3% to $US2,332/ounce
- Brent crude: +1.9% at $US86.64/barrel
- Iron ore: +3.2% to $US109.80/tonne
- Bitcoin: +5.2% to $US63,262
Prices current around 7am AEST
ABC/Reuters
![i’m-nervous,-too!-[part-2]](https://10xwealthreport.com/wp-content/uploads/2026/03/177042-im-nervous-too-part-2-1568x784.jpg)
