Pete Wargent blogspot

Co-founder & CEO of AllenWargent property buyer's agents, offices in Brisbane (Riverside) & Sydney (Martin Place), & CEO of WargentAdvisory (providing subscription analysis, reports & services to institutional clients).

5 x finance/investment author - 'Get a Financial Grip: a simple plan for financial freedom’ (2012) rated Top 10 finance books by Money Magazine & Dymocks.

"Unfortunately so much commentary is self-serving or sensationalist. Pete Wargent shines through with his clear, sober & dispassionate analysis of the housing market, which is so valuable. Pete drills into the facts & unlocks the details that others gloss over in their rush to get a headline. On housing Pete is a must read, must follow - he's one of the finest property analysts in Australia" - Stephen Koukoulas, MD of Market Economics, former Senior Economics Adviser to Prime Minister Gillard.

"Pete is one of Australia's brightest financial minds - a must-follow for articulate, accurate & in-depth analysis." - David Scutt, Business Insider, leading Australian market analyst.

"I've been investing for over 40 years & read nearly every investment book ever written, yet I still learned new concepts in his books. Pete Wargent is one of Australia's finest young financial commentators." - Michael Yardney, Australia's leading property expert, Amazon #1 best-selling author.

"The most knowledgeable person on Aussie real estate markets - Pete's work is great, loads of good data & charts, the most comprehensive analyst I follow in Australia. If you follow Australia, follow Pete Wargent" - Jonathan Tepper, Variant Perception, Global Macroeconomic Research, author of the New York Times bestsellers 'End Game' & 'Code Red'.

"The level of detail in Pete's work is superlative across all of Australia's housing markets" - Grant Williams, co-founder RealVision - where world class experts share their thoughts on economics & finance - author of Things That Make You Go Hmmm, one of the world's most popular & widely-read financial publications.

"Wargent is a bald-faced realty foghorn" - David Llewellyn-Smith, 'MacroBusiness'.

Thursday, 6 April 2017

Trump trade runs out of legs

Trump trade

It's been a strange year or so to say the least.

Donald Trump winning the US election was apparently going to send Australian interest rates higher on a joyful wave of tax cuts, infrastructure building, and a few nifty slogans.

A temporary triumph of optimism over common sense, perhaps.

Australia's 10-year bond yield had raced all the way from 2.17 per cent to 2.98 per cent by the middle of last month!

But it seems that markets are now finally having a change of heart with the 10-year yield sinking all the way back down to 2.56 per cent earlier today.

The 2-year bond yield has dropped from 1.91 per cent on March 10 to just 1.66 per cent.

Which makes a lot more sense to me.

The Reserve Bank's own Chart Packs yesterday showed that inflation is still missing target on the downside and business investment remains in a multi-year decline as resources investment continues to fade. 

If the Reserve Bank hikes into that then they might as well tear up the inflation target mandate entirely!