Latest / Best of Business / Greg Smith: Devon Funds expert on the factors driving the NZ markets up

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Greg Smith: Devon Funds expert on the factors driving the NZ markets up · Best of Business

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  Speaker 1: You're listening to a podcast from news Talk zed Be
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  Speaker 1: follow this and our wide range of podcasts now on iHeartRadio.
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  Speaker 2: Now, let's get an update from the markets today. Greg
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  Speaker 2: Smith from Devin Funds is with us.
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  Speaker 3: Hey.
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  Speaker 2: Greg, Hey, it's very good to talk to you.
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  Speaker 3: Now.
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  Speaker 2: The key we market had a good session. It's up
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  Speaker 2: zero point eight percent. What's been driving this optimism?
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  Speaker 3: Yeah, that's what I mean, sort of running on the
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  Speaker 3: back of the optimism in the US. I mean what
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  Speaker 3: trade warth is and P five hundred, I mean that's
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  Speaker 3: clawed back or its losses since Liberation Day and it's
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  Speaker 3: actually been on a bit of a bit of a
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  Speaker 3: record run. So I suppose you investors are sort of
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  Speaker 3: pricing in, you know, the worst case scenario that you know,
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  Speaker 3: when you produce that border a few weeks back, not
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  Speaker 3: not happening. So, you know, we've got hundreds of deals
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  Speaker 3: evidently coming in the next sort of two months. And
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  Speaker 3: I suppose what we're really waiting on is some sort
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  Speaker 3: of meeting of the minds between China and the US.
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  Speaker 3: And it still seems to be a bit of cat
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  Speaker 3: and mouse. You know, there's been conciliatory tones, there's been exemptions.
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  Speaker 3: China seit on Friday. They're sort of already for hawks.
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  Speaker 3: Trump said over the weekend that he's not going to
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  Speaker 3: speak to Beijing this week, so I think that's what
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  Speaker 3: investors sort of looking for that you know, that's going
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  Speaker 3: to be better than feed from that regard. So yeah,
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  Speaker 3: the US market's sort of pushing high. I mean the
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  Speaker 3: New Zealand market didn't fall as most as much as
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  Speaker 3: most anyway, but it's yes, sort of sort of clawing
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  Speaker 3: things back as you mean it zero point eight percent.
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  Speaker 3: We've got fish and park Or we know one of
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  Speaker 3: our exporters, I suppose most in the frame with respect
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  Speaker 3: to teriffs, but that's sort of in compliance of this
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  Speaker 3: agreement between US, Canada and Mexico and has a lot
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  Speaker 3: of its I suppose operations in Mexico which supplies the US,
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  Speaker 3: and then we've got main freight as well, and that's
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  Speaker 3: been sort of wearing a bit of toil from the
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  Speaker 3: tariff side of things. But yeah, seventy five percent of
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  Speaker 3: earning of earnings come from Australia New Zealand, so use
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  Speaker 3: is a bit of relevant. I mean, it's only around
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  Speaker 3: about eight percent of earnings, so that had a great
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  Speaker 3: down Friday, up twelve percent on its training update. It's
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  Speaker 3: up again today as well, by two point four percent.
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  Speaker 2: What do you make of Trump and there's tariffs on
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  Speaker 2: foreign made movies? People that have.
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  Speaker 3: Well, I hate the whole tariff war has been a
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  Speaker 3: bit of a soap opera, hasn't it. I mean it's
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  Speaker 3: been sort of lurching from one drama to another, and
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  Speaker 3: now it actually has Hollywood. So I've got potentially one
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  Speaker 3: hundred percent tariff on movies not made in America. He
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  Speaker 3: says he wants to stop the slow death of Hollywood.
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  Speaker 3: I suppose as usual and as we've become accustomed to
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  Speaker 3: with Trump and all things on the trade front been
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  Speaker 3: quite light on detail. So is it going to apply
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  Speaker 3: to just movie showing in cinemas? Is it going to
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  Speaker 3: apply to things on streaming as well? But yeah, it's
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  Speaker 3: certainly potentially gonna have an impact, obviously, Chris, like someone
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  Speaker 3: was speaking today, but you know Lord of the Rings
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  Speaker 3: made in New Zealand or movies made in Australia, you know,
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  Speaker 3: Darre and it'd be potentially caught. So yeah, I'm not
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  Speaker 3: going to be great for sort of the film industries abroad.
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  Speaker 3: So yeah, pretty pretty amazing. We've sort of no stone
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  Speaker 3: untouched with respect to the terwif form. We have to
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  Speaker 3: sort of see where this all goes. But yes, it
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  Speaker 3: just goes as suppose to the to the soap opera
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  Speaker 3: that has been the trade war over the past five
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  Speaker 3: weeks or so.
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  Speaker 2: Lord, it would be a soap opera if it didn't
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  Speaker 2: cost us so much. Greg, Thank you so much, appreciate it.
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  Speaker 2: You awsome at Greg Smith of Devon Funds.
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