Volatility has subsided; global share markets have recovered from the “Tariff Tantrum” - where to from here?
- the impact of tariffs have not been felt by the US consumer or business just yet and it will take another 6 – 12 months to fully understand the impact. August reporting season will be important to watch.
- while there is pressure mounting on the US Federal Reserve to cut rates, near term inflation concerns outweigh the economic growth outlook.
- the Reserve Bank of Australia (RBA) is widely tipped to cut rates tomorrow by 0.25%
- On a price to earnings (P/E) valuation methodology markets now look expensive again.
- Now is a good time to replenish any cash reserves.
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