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Shane Solly: Harbour Asset Management on the US Federal Reserve hinting at rate cuts · 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: Shane Soally harbor Asset Management is with us now Hey.
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  Speaker 3: Shane, Hello Heather.
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  Speaker 2: Okay, So the US Fed governor has opened the door
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  Speaker 2: to the rate cuts. Did this on Friday. How did
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  Speaker 2: the markets react?
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  Speaker 3: Well, said, he was speaking at this big jam baroo
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  Speaker 3: for economists and politicians called Jackson Hole, who was more dubbish.
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  Speaker 3: So he opened the door up for cuts in September,
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  Speaker 3: but he's not pre committing. The key change for markets
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  Speaker 3: was he's not just first to keep focusing on inflation.
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  Speaker 3: He's also talking about labor markets and there had been
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  Speaker 3: a week he also talked about terraces and suggested that
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  Speaker 3: maybe it's less of an inflation rest and the previously
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  Speaker 3: talked about. But he's going to wait for some data
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  Speaker 3: here that is coming up this week on Friday news
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  Speaker 3: the on Time what's called the Core Personal Expenditure measure
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  Speaker 3: that's out on Friday, and then in August, he's got
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  Speaker 3: the August unemployment data out middle of them next month.
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  Speaker 3: I should say that'll be important to him. Pushing the
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  Speaker 3: button on go in September. Markets liked it. We saw
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  Speaker 3: the US shear market up one and a half percent.
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  Speaker 3: US bond yields, this interest costs went down. UIs dollar
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  Speaker 3: went down as well. Not much of a pass through here,
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  Speaker 3: we're our sharmaker here today was about zero point three percent,
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  Speaker 3: but helpful. So, yeah, we've got an opening up of
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  Speaker 3: the taps.
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  Speaker 2: Did you see that retail sales data out today.
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  Speaker 3: Yeah, it was a surprise, you know, with the marketing
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  Speaker 3: in expecting a negative number, it actually came out positive,
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  Speaker 3: up zero point five percent for that quarter to June.
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  Speaker 3: And even if if we take out automotive, which can
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  Speaker 3: be quite lumpy, it was up zero point seven percent.
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  Speaker 3: So we've got a bit of growth out there in retail.
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  Speaker 3: But either we just sort of look make the observation
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  Speaker 3: that retailers have been doing a lot of deals to
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  Speaker 3: simulate activity. Everybody knows that Quimi's love a bargain and
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  Speaker 3: retailers have been working hard to do that. So just
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  Speaker 3: to pinch your salt there, but nonetheless, it does suggest
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  Speaker 3: that we've seen the bottom of the New Zealand economy.
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  Speaker 2: Yeah, how good to hear that. Now, what did you
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  Speaker 2: make of today's company results?
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  Speaker 3: Yeah, actually pretty solid scales. This is the new Zealand
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  Speaker 3: horticulture and supply chain company. There was the best result
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  Speaker 3: on the day. Share price is up three percent courus
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  Speaker 3: that obviously brings our broadband into our many of our homes.
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  Speaker 3: Stock price up two percent, mainly because it went into
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  Speaker 3: an Australied shear market index lines company Victor. The ship
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  Speaker 3: price up two percent up. The company delivered a really
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  Speaker 3: good result and some positive dividend guidance industrial property own
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  Speaker 3: a property for industry. That share prices up one and
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  Speaker 3: a half percent, good solid result, talk about more development.
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  Speaker 3: Share price of recreational vehicle were into company tourism holdings
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  Speaker 3: that was flat on the day, even though the company
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  Speaker 3: management team we're talking about, hey, I thinks are getting
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  Speaker 3: a bit better out there, we're seeing some improving rental demand.
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  Speaker 3: And finally steal on tube share price down just over
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  Speaker 3: four percent, a pretty weak result from them really highlighting
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  Speaker 3: what's been a very tough Uze economy.
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  Speaker 2: And so what do you make of how things have
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  Speaker 2: gone in this reporting season so far for us?
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  Speaker 3: Yeah, it's actually been better, actious and better and that
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  Speaker 3: there's list negatives. That's a bit of a double Minionaire,
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  Speaker 3: but we've seen list negatives. Companies are heading expectations and
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  Speaker 3: a lot of that's about costs come in better and
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  Speaker 3: expected revenue is still a bit choppy, but costs are
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  Speaker 3: coming in and then the outlook statements they're pro It's
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  Speaker 3: still cautious, but not as cautious as there have been
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  Speaker 3: so generally better. Good stuff.
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  Speaker 2: Hey, Shane, always good to talk to you. Thanks, we'll
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  Speaker 2: talk to you next week. That Shane Solly, Harbor, Asset Management.
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