Market Update - July 2016

 

See below for key points in this update and the report itself.

     

 

  • The RBA kept the overnight cash rate at 1.75% in July but cut to 1.50% during the August board meeting. 
  • In fixed income, the 3 Month Bank Bill Swap Rate and the 10 Year Australian Bond Rate fell by -0.05% and -0.11%, respectively, in July.
  • Spreads on Australian corporate debt fell over the month, as indicated by -16.36-point decline over the month of the iTraxx Australian Index to 109.67. 
  • Australian shares rallied over the month, with the All Ordinaries Index and the S&P/ASX 200 Index increasing by 6.28% and 6.29%, respectively. 
  • Domestic listed property performed in line with the broader share market, gaining 5.35% over the month.
  • Global equities experienced strong recoveries in July, with all regional markets participating. Japan added 6.17% to be the best performer, as measured by the TOPIX Japan Index. 
  • Global commodity prices ended the month -1.16% lower, as measured by the US$ CRB Spot Commodity Index. The oil price had its largest fall in months, declining by -13.93% for the month. Gold and Iron Ore prices continued to rise, adding 2.12% and 11.01%, respectively, in US Dollar terms. 
  • The Australian Dollar rose further against most currencies in July, gaining 1.29% against the US Dollar, 1.36% against the Euro, 2.87% against the British Pound and 2.24% versus the Japanese Yen.
  • The Australian Trade Weighted Index (TWI) rose by 1.44% over the month, ending July at 63.40.
  • Share market volatility fell both domestically (-5.18%) and in the US (-3.76%).

 

Please click on the following link to gain access to this resource.

Click here to view the 31st July 2016 Market Report
 

 Source:       Zenith Investment Partners

IT Financial Services, ABN 48 097 884 976, is an Authorised Representative of Apogee Financial Planning. Apogee Financial Planning Limited ABN 28 056 426 932 is an Australian Financial Services Licensee and has its registered office at 105 - 153 Miller Street North Sydney NSW 2060. A member of the National group of companies.