Category: Weekly Wraps

For all weekly wrap posts

FINSOC Weekly Wraps Vol. 28

The RBA raises interest rates to an 11-year high, opens the door to a pause
The RBA has raised interest rates for the 10th consecutive meeting, taking the cash rate target to 3.6%.
RateCity has stated that the latest increase would be a $77 a month increase to repayments on a $500,000 home loan and double that on a $1 million mortgage.
Borrowers with $500,000 mortgages will soon be facing monthly mortgage repayments near $1k larger than a year ago.

FINSOC Weekly Wraps Vol. 27

UK grocery price inflation hits record high as more stores impose rationing
A measure of UK grocery price inflation soars as shop price inflation rose to a fresh high of 8.4% in February, up from 8% in January – driven by new highs in the costs of food.
Fresh food prices rose by 16.3% amid shortages of staples such as tomatoes and broccoli, due to suboptimal weather conditions in southern Spain and northern Africa.

FINSOC Weekly Wraps Vol. 26

US Markets are set to increase their interest rates further into 2023.
Markets now view it as probably that the Fed Funds rate will reach 5.25% to 5.50% in 2023.
The Fed is now expected to hike rates at upcoming meetings in March, May and June according to interest rate futures.
This is largely due to the idea that despite being past peak inflation rates, certain prices will continue to rise, thus more work needs to be done.

FINSOC Weekly Wraps Vol. 25

Unemployment rate increased to 3.7% in January

The unemployment rate has jumped to 3.7% from 3.5% in January due to more than 11,500 people losing work, according to data released by the ABS last Thursday.

The sharp drop in January was a result of a loss in 43,300 full-time workers, which was only partly offset by a 31,800 rise in part-time employment.

FINSOC Weekly Wraps Vol. 24

RBA raises rates, and expect further increases will be needed

In the first Tuesday board meeting of 2023, the RBA has raised the official cash rate by 25 basis points to 3.35%, the highest level in over a decade.

RBA governor Phillip Lowe affirms expectations of further rate rises and says “the Board expects that further increases in interest rates will be needed over the months ahead” to stabilise high inflation.

FINSOC Weekly Wraps Vol. 23

Fear of Contagion as Adani Group accused of Fraud

Since the release of the Hindenburg report which accuses the Adani group of the “greatest fraud in economic history”, the Indian industrial conglomerate has lost over $140 billion in market value.

The group faces allegations of various fraudulent activities including “brazen stock manipulation”, breach of shareholder disclosure laws and money laundering.

FINSOC Weekly Wraps Vol. 22

Official CPI higher than expected

 ABS reported 7.8% inflation over the year, coming in just under the RBA’s expected 8% forecasts.

 According to ANZ senior economist Catherine Birch, a “rate rise next month is almost certain” to curb inflation.

FINSOC Weekly Wraps Vol. 21

 Former Labour Minister, Rudd has been appointed to preside over Australia’s key diplomatic post in Washington DC.
 Australian households are expected to save $230 on their electricity bills in the next financial year due to wholesale price falls recorded after Labour’s market intervention.
 New Zealand Prime Minister Jacinda Arden has shocked the nation with early exit.
 The ASX have finished a strong month on a positive note, with gains across most sectors.

FINSOC Weekly Wraps Vol.08

 The ASX has seen a significant loss even after the rise in US interest rates. A total loss of 5.6% has been calculated for stock markets all around the world.
 The S&P/ASX200 closed sharply lower Friday, dropping 116.30 points or 1.76% to 6,474.80 and setting a new 100-day low.
 Since early November both BTC and ETH are down more than 70%, proving that it extends the losses of the macro environment rather than acting as a hedge against inflation
 ResMed is set to conduct its largest tech deal, as it purchased Germany’s MediFox Dan for $US1b.

FINSOC Weekly Wraps Vol.07

 Following Tuesday’s cash rate hike, the collective value of the Big 4: Commonwealth Bank, Westpac, NAB and ANZ, fell by almost 9% in 3 days (till 10 June).
 The ASX dropped 4.2% this week, ending Friday with a new 50-day low.
 The Treasury is currently considering plans to regulate crypto asset service providers, with proposals to designate cryptocurrency assets as financial products