Craig James, Chief July
Important Information 2 This presentation has been prepared without taking account of the objectives, financial situation or needs of any particular individual. Before acting on the information in this seminar, you should consider its appropriateness to your circumstances and, if necessary, seek appropriate professional advice. Commonwealth Securities Limited ABN AFSL (CommSec) is a wholly owned but non-guaranteed subsidiary of Commonwealth Bank of Australia ABN and a Participant of the ASX Group. Examples used in this presentation are for illustrative purposes only.
3 World economy OK
4 Australia In Short Could do better So What? Job market risks Inflation to stay low Rates to stay low Weaker currency?
5 Light in tunnel for business?
6 In Short Confidence has been missing ‘X-factor’ So What? Business has been risk averse Focus on costs Need to step up marketing Small business stimulus Consumer confidence lifts
7 More homes being built
8 Still spending
9 Business perspective In Short Businesses respond to stimulus So What? Multiplier benefits Confidence boost Policy implications
10 Small business perspective
11 Job market to improve?
12 Inflation contained In Short Headline inflation 1.4% Underlying inflation 2.3% So What? Rates can stay low Pressure on margins Need to keep costs low
13 Rising wealth
14 Interest Rates In Short Cash rate to stay low So What? Tough for investors Short vs Longer-term Yield important Economy in focus
15 Investments In Short Challenges for shares So What? Opportunities Diversification Low cash continues Mixed prospects
16 Exchange rates In Short Much depends on US So What? Impact on travellers Impact on costs Impact on consumers Boost for business
17 Outlook