Off the back of the latest Reserve Bank meeting, the following represents a snapshot of the latest economic news:
- The Reserve Bank has forecast the economy to contract by 6% this year before rebounding by 5% in 2021
- Only 75% of the ASX 200 Companies reported a net profit in the year to June 2020
- Full earnings were down 38% on aggregate
- Dividends were down 36%
- 53% of companies either cut their dividends or did not pay a dividend
- The current cash rate of 0.25% has been left on hold and is expected to remain at that level for the foreseeable future
- The $A continued to climb and is up almost 5% this year
- Consumer sentiment fell to 79.5% in August from 87.9% in July
- Unemployment rose to 7.5% in July the highest level in 22 years
- Property prices declined for the fourth month
Should you have any questions with regard to how the economy will affect your investments and standard of living, please submit an online enquiry now or call Peter Quinn on +61 2 9580 9166. We also offer a FREE 45-minute consultation should you have other financial planning, taxation or superannuation issues you may wish to discuss.
The information in this document does not take into account your personal objectives, financial situation or needs, and so you should consider its appropriateness having regard to these factors before acting on it. It is important that your personal circumstances are taken into account before making any financial decision and it is recommended that you seek assistance from your financial adviser.
Have you downloaded our free QFP App*? Got an iPhone, iPad or mobile Android device? If so, our App offers valuable information and resources such as:
- GPS Mileage Tracker
- Photo Receipt Manager
- Tax content
- Useful calculators
- Personalised notifications to keep you updated on key information
Simply download the App from your mobile device (even better, if you are accessing this document now from your mobile device, simply click on the link below). When prompted, enter the unique access code: quinn to access our QFP App – it’s that easy.
* Cannot be downloaded from a laptop or desktop computer – for mobile and android devices only