Latest / Best of Business / Shane Solly: Harbour Asset Management spokesperson on what the tech tariff exemptions did to the market

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Shane Solly: Harbour Asset Management spokesperson on what the tech tariff exemptions did to the market · Best of Business

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  Speaker 1: You're listening to a podcast from News talks'd be follow
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  Speaker 1: this and our wide range of podcasts now on iHeartRadio.
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  Speaker 2: Time for a look at the Markets've got Shane Solely
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  Speaker 2: from Harbor Asset Management. We've been out a Shane good a.
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  Speaker 2: How are you and very well? Thank you? Now what
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  Speaker 2: did you make o? Mate? Thank you? It's good to
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  Speaker 2: talk to you too. What did you make at this
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  Speaker 2: exemption for the smartphones and the computers and the electronics
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  Speaker 2: and stuff from Trump? Is this a good news sign?
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  Speaker 3: Yeah, it is, but you know, you've got to step back.
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  Speaker 3: We've had a policy induced skier to grace. So anything
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  Speaker 3: that reduces policy rest that's helpful. So this ninety day reprieve,
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  Speaker 3: and we're going to be careful about this. It is
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  Speaker 3: a reprieve to tech tariffs is helpful go back. We
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  Speaker 3: are a little bit worried as a capital market. This
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  Speaker 3: is a bit of a go and no go situation
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  Speaker 3: that pushed out tariffs. But the administration saying, hey, look
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  Speaker 3: we're going to launch some new investigations into semiconductor chips
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  Speaker 3: and that may actually capture a bunch of tech applications.
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  Speaker 3: So it's helpful. It's in the right direction. But we've
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  Speaker 3: got to heck up and we are perhaps past peak
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  Speaker 3: tariff noise, but there's a lot of uncertained to heather
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  Speaker 3: and that's going to continue to keep pretty sure on
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  Speaker 3: consumers and businesses and markets.
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  Speaker 2: Now, I see the Feed is saying it's willing to
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  Speaker 2: get involved. What exactly does that mean?
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  Speaker 3: Yes, So Susan Collins, she's the head of the Boston
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  Speaker 3: SEE and she's a member of the FED Open Market Committee.
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  Speaker 3: She told the Financial Times that the US Central Bank,
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  Speaker 3: the FED is absolutely preared to step in and stabilize
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  Speaker 3: financial markets of conditions become disorder. And so what we
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  Speaker 3: saw last week was some disruptions to government bonds government
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  Speaker 3: bond markets, and that's what she's talking about, disruption. What
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  Speaker 3: she's saying is we think markets are still functioning well,
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  Speaker 3: we're not seeing liquidity issues, but we're ready to step in.
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  Speaker 3: It's really important. It's important to give people confidence that
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  Speaker 3: US government bonds they are a safe asset and by definition,
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  Speaker 3: other government bonds, including our own, are safe.
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  Speaker 2: And so what's been the reaction locally to both the
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  Speaker 2: tariffs that tech tariffs and the and the FED comments.
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  Speaker 3: Yeah, look, the bond yield and they are important. They'll
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  Speaker 3: probably flat the tenure givement bonds flat at four point
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  Speaker 3: seventy five. They're quite a long way up from where
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  Speaker 3: they started the year, but they've stopped going up. That's important.
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  Speaker 3: The New Zealand dollar back to just under fifty nine
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  Speaker 3: cents fifty eight sixty against the US dollar. That's about
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  Speaker 3: US dollar weakness. So one of the things we've seen
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  Speaker 3: through this last few weeks is the US dollar has
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  Speaker 3: been falling and the New Zealand shear market was about
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  Speaker 3: point seventy percent, so less than one percent more than
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  Speaker 3: a half, led by defensive growth companies like infratill them
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  Speaker 3: already and Fishing, Parkway Alk and Ebos. So yeah, not
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  Speaker 3: a bad day, but not super exciting.
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  Speaker 2: Okay, what's coming up this week that the investor should
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  Speaker 2: keep an eye out for.
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  Speaker 3: Yeah, Busy Weeks said that the probably key one locally
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  Speaker 3: is on Thursday, we've got this New Zealand consumer price
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  Speaker 3: inflation from March to March quarter. It should give the
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  Speaker 3: Reserve Bank of New Zealand a green light to keep
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  Speaker 3: cutting official rates. We're seeing certainly businesses and surveys saying hey, look,
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  Speaker 3: the inflation conditions are form, so that should give us
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  Speaker 3: a green light for more cuts. Tuesday night, we've also
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  Speaker 3: got mister Powell, who's the cheer of the US Federal Reserved,
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  Speaker 3: talking about economic outlook. He's probably going to be a
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  Speaker 3: little bit weary. We've also got the European Central Bank
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  Speaker 3: potentially cutting interest raps. And then later in the week
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  Speaker 3: we've got a large number of US companies delivering profit
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  Speaker 3: results and then it'll give it a real tone for
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  Speaker 3: where we should expect the markets to go. And of
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  Speaker 3: course we're closed for Easter Friday, so seeming to be
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  Speaker 3: a little of focus on Easter eggs on over the weekend.
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  Speaker 2: Shane, thanks very much, looking forward to channings you next week.
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  Speaker 2: Is Shane Solely Harbasset Management.
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