View our Blog
Felix Gold
Far East Gold
Far East Gold
Wellnex Limited
Propell Holdings Ltd
Prescient Theraputics
Site
TRIBE
MDF Global Limited Q&A
MDF Global Limited Q&A

Note from the MD: It’s crunch time for the Australian economy

Many have written off the Jobs and Skills Summit as a talkfest, but let’s dare to dream that it might go some way towards bringing us together to tackle our shared economic challenges and kickstart a new era of national co-operation.
Many have written off the Jobs and Skills Summit as a talkfest, but let’s dare to dream that it might go some way towards bringing us together to tackle our shared economic challenges and kickstart a new era of national co-operation. More than 100 delegates will be putting their best suggestions forward, and Treasurer Jim Chalmers says there’s no shortage of terrific ideas up for discussion. The omission of key players such as the CEOs of the Big Four banks is unfortunate, but the interests of business will be well represented by the Business Council of Australia, Australian Industry Group and the Australian Chamber of Commerce, among others. How to keep unemployment low and improve living standards while meeting Australia’s dire need for more and better-skilled workers is the big question. The union movement wants the summit to focus on strengthening workers’ bargaining powers so as to get real wage rises going again, hopefully in line with the rising cost of living. For instance, private healthcare is expected to take a toll on the average Aussie, with insurance premiums increasing by an average of 2.7%. Cancer, one of the leading causes of death in Australia, could end up costing hundreds of thousands of dollars to treat per person per year. As Business Council boss Jennifer Westacott says, a win from the business sector’s perspective would be consensus on how to build a more resilient and productive economy that can compete and prosper effectively at a global scale. We have a choice to make. We can either be a country frozen in time, overtaken by our rivals, or a nation at the frontier accessing the opportunities of technology and wealth creation. Australia needs to diversify and strengthen its economic base, and to become more flexible so it can quickly respond to an increasingly volatile and complex world. Treasury says it will invite more submissions and engage the wider community ahead of the release of the Employment White Paper that will be the end product of the summit process, so this is a rare opportunity for everyone to help reorient Australia’s national roadmap for the better. Meanwhile, the XJO is struggling to break above the 200-day moving average, as the 50-day MA converges closer to the 200-day. Sentiment has been knocked recently with commentary on Friday from FED chair Jerome Powell at the Jackson Hole Symposium. He had a short and terse speech whereby he made it clear the Fed will not be shifting to a rate-cut cycle anytime soon. On the contrary, Powell pointed out the need to take rates into restrictive territory and to hold them at higher levels for some time until the Fed is confident inflation is getting back down to the Federal Open Market Committee’s 2% goal. Powell openly acknowledged that the effort to reduce inflation “will also bring some pain to households and businesses”. In short, the FED will try to rein in inflation at the possible expense of the markets. Implied volatility has increased in lockstep with increased volatility in wider markets to 15.2% with an IV rank of 30. Although volatility has increased, with an IV rank of 30, we still see now as an opportune time to buy some cost-effective protection. We currently see the XJO 200-day moving average and 50-day moving average consolidating, with the price looking to break out to either upside or downside. With any moves up we should expect resistance at 7150, and any moves down expect support at 6830. We have an upcoming webinar with a company that is making cancer treatment more affordable, safer and more effective. Prescient Therapeutics (ASX: PTX) is a biotech innovator whose flagship OmniCAR platform is placing the company at the forefront of the current revolution within healthcare’s largest sector: oncology. On Friday at 12pm (AEST), we will be joined by Prescient’s CEO and MD Steven Yatomi-Clarke for a fascinating discussion on how the company is helping take the cancer conversation from ‘fight’ towards a ‘cure’. Click here to attend. Reach Markets has been engaged by Prescient Therapeutics Limited to assist with their investor communications and may receive fees for its services.
Any advice contained in this communication is general only and does not consider your objectives, financial situation or needs, and you should consider whether it is appropriate for you. This might mean that you need to seek personal advice from a representative authorised to provide personal advice. If you are thinking about acquiring a financial product, you should consider our Financial Services Guide (FSG) including the Privacy Statement at www.reachmarkets.com.au and the relevant Product Disclosure Statement, Prospectus or offer documents to understand the features, risks and returns associated with the investment. Reach* may have a material interest in and may earn fees or brokerage from any securities referred to in business or in which we seek to do business with. Please refer to the relevant offer documents for full details. Trading options is not suitable for everyone. There is a risk that you can lose more than the value of a trade or its underlying assets. You should only act on the information we provide if you are confident that you fully understand what you are doing. Past returns do not always indicate future returns, and it is also possible to make significant losses. There is always a risk of loss when trading and investing. Under Design and Distribution Obligations, anyone opening a trading account will be required to meet the Target Market Determination criteria of Phillip Capital and subject to an assessment the results of which will determine your eligibility for a trading account, for further information please see here.   *Reach refers to Reach Markets Pty Ltd (ABN 36 145 312 232) (CAR No: 431191), Reach Corporate Pty Ltd (ABN 76 638 960 540) (CAR No:1281636), Reach Trading Pty Ltd (ABN 16 615 714 442) (CAR No.1265855), R Corporate Pty Ltd (ABN 50643404871) (CAR No. 1290551) of Reach Financial Group Pty Ltd (ABN 17 090 611 680) who hold an Australian Financial Services Licence (AFSL) 333297.

This Week’s News

News

31st May 2024

Top geo backed by leading resources funds believes he has discovered a potential new gold-copper district

News

8th May 2024

BHP Xplor winner coming to the ASX

News

4th May 2024

AI Industrial Revolution: Aussie company unlocking AI for multinationals

General Advice Warning

Any advice provided by Reach Markets including on its website and by its representatives is general advice only and does not consider your objectives, financial situation or needs, and you should consider whether it is appropriate for you. This might mean that you need to seek personal advice from a representative authorised to provide personal advice. If you are thinking about acquiring a financial product, you should consider our Financial Services Guide (FSG)

including the Privacy Statement and any relevant Product Disclosure Statement or Prospectus (if one is available) to understand the features, risks and returns associated with the investment.

Please click here to read our full warning.

Close
Search

Hit enter to search or ESC to close

cookie By using this website, you agree to our cookie policy. Close