Monthly Summary - Oct 2019
Economy and Indices
The ASX was up 2.8% for the last month.
The AU markets rising seems incongruent with the global macro stance, summarised as:
Trade Wars continue
Currency Wars increase
Investment remains subdued based on the first two points
The longer these issues continue, the greater the risk of recessions
Recessions are not fun for many of us and are terrible for most portfolios. The key to being invested during recessions is to have the portfolio invested in the right areas.
There are more companies reaching new heights that many of the previous months. This is the share market appearing to shrug off the greater market concerns. However, in my research, the times when new highs flood the markets is just before a quick dip down.
Leading Sectors This Month
Information Technology +6.8%
Lagging Sectors this month
Communications (Telcos) – 3.7%
Health Care -0.5%