April 2024 Insights

It’s already April, and as we return to work after Easter, we hope you enjoyed a peaceful and relaxing holiday weekend.

Expectations of interest rate cuts later this year in Australia and the United States fuelled activity in the markets last month. The S&P/ASX 200 ended March at another all-time high. Mining shares are driving the market, with gold, iron ore, and lithium all rebounding. Gold’s rise saw it close at its highest ever, reaching US$2,230 an ounce as investors seek a safe haven from geopolitical tensions and anticipated interest rate drops.

In the US, the month was slightly less active for markets, but since the beginning of the year, the S&P500 has gained just over 10%, the Nasdaq more than 9%, and the Dow 5.6%.

The Australian dollar continues to fall, with the just-released CPI figures for February unchanged from the previous two months at 3.4%. Meanwhile, the US dollar is strengthening.

Amid a mixed bag of economic indicators, household wealth has risen for the fifth straight quarter, up by 2.8%. This increase is largely due to house price rises but share market growth has also played a part.

Retail turnover rose by 0.3% in February, thanks to the Taylor Swift phenomenon, with her sell-out concerts in Sydney and Melbourne boosting spending. Excluding Swift’s impact, spending has stagnated after the excitement of the Christmas sales.

If there’s something affecting your financial situation that you’d like to discuss, please don’t hesitate to reach out to our team.