Latest / Best of Business / Shane Solly: Harbour Asset Management spokesperson on the US potentially cutting interest rates

Transcript

Shane Solly: Harbour Asset Management spokesperson on the US potentially cutting interest rates · Best of Business

• 0:09
  Speaker 1: You're listening to a podcast from News Talk Z'B. Follow
• 0:12
  Speaker 1: this and our wide range of podcasts now on iHeartRadio.
• 0:17
  Speaker 2: US FED Reserve Chair j Powell has said that the
• 0:19
  Speaker 2: time has come for interest rate cuts. He's speaking at
• 0:21
  Speaker 2: the fed's annual Jackson Hole Retreat, and Shane Solely from
• 0:24
  Speaker 2: Harbor Asset Management is with us on the say, Shane,
• 0:27
  Speaker 2: how did the markets react to this? How did he sound?
• 0:29
  Speaker 2: What was the tone?
• 0:31
  Speaker 3: Well, the time has come. Jay has certainly pulled the
• 0:33
  Speaker 3: pin on this, and he said, look the upside rest inflation,
• 0:36
  Speaker 3: they're diminished, so we're actually seeing a deflation disinflationary period
• 0:40
  Speaker 3: of time. And he's more worried about this down so
• 0:42
  Speaker 3: risk to the employment in the US. So he didn't
• 0:45
  Speaker 3: commit to a particular pace of rate cuts. So that's
• 0:48
  Speaker 3: left market's a little bit wary the timing and the
• 0:50
  Speaker 3: pace that's to be depending on data. It's always data
• 0:53
  Speaker 3: dependent when it comes to central bankers. But overall it
• 0:57
  Speaker 3: struck the right tabe with markets. We saw interest rates
• 0:59
  Speaker 3: fall across the board, and we saw share markets up
• 1:03
  Speaker 3: and the US dollar down, and I think we really
• 1:05
  Speaker 3: have seen something the market had expected. But this confirmation
• 1:09
  Speaker 3: here so I've gottle bit more data out this week,
• 1:12
  Speaker 3: certainly in the next few days, and some house price data
• 1:14
  Speaker 3: and some consumer confidence data. But it's going to put
• 1:16
  Speaker 3: more fuel on the when rather than if and how much.
• 1:21
  Speaker 2: Man in New Zealand, it has been busy with all
• 1:23
  Speaker 2: of the companies reporting in the last week or so.
• 1:26
  Speaker 2: You seeing any trends here and what you're actually witnessing.
• 1:28
  Speaker 3: Yeah, Unfortunately, we're seeing more misses against expectations. The companies
• 1:33
  Speaker 3: are coming in slightly lower than expected than beats. But look,
• 1:37
  Speaker 3: it's a feeling there's a little bit of a green
• 1:39
  Speaker 3: shoots out there. We've seen a couple of big misses
• 1:41
  Speaker 3: from companies like Fletcher Building in spar The literacity companies
• 1:44
  Speaker 3: obviously had a bit of an impact from this dry year.
• 1:47
  Speaker 3: But there's some green shoots coming through, a bit of
• 1:49
  Speaker 3: costs peaking and certainly some companies starting to show some
• 1:53
  Speaker 3: confidence in terms of talking about the future, in terms
• 1:55
  Speaker 3: of growth, a couple talking about buying back their own shares.
• 1:58
  Speaker 3: Even so, there is a sort of a feeling we're
• 2:00
  Speaker 3: bounced along the bottom. It's a bit hazy, but certainly
• 2:03
  Speaker 3: this sort of suggestion we're seeing the worst of things.
• 2:06
  Speaker 2: And then this upcoming week we've got a whole bitch
• 2:08
  Speaker 2: as well. I think the New Zealand's probably going to
• 2:10
  Speaker 2: be one of the big ones and probably not that flash.
• 2:11
  Speaker 2: What else is going on?
• 2:13
  Speaker 3: Yeah, look we've got another thirty end companies reporting this week.
• 2:15
  Speaker 3: We had Chorus the Lions company out today, better result
• 2:20
  Speaker 3: than expected driven Sorry that actually result wasn't That wasn't better,
• 2:24
  Speaker 3: but they provided a high dividend income payment which saw
• 2:27
  Speaker 3: the stock price cup nine percent. A couple of others
• 2:30
  Speaker 3: out to day property for Ministry Steel and Tube Somerset
• 2:32
  Speaker 3: all online and they were just noting a bit of
• 2:34
  Speaker 3: a caution around the recovery in the border of New
• 2:36
  Speaker 3: Zealand economy. Tomorrow, I've got Media Company in Adme, Tourism Holdings,
• 2:40
  Speaker 3: the victor of Vulcan Steel. Wednesday, Meridian Precinct Properties Scales
• 2:45
  Speaker 3: and then Thursdays you say a New Zeon and Heartland groups.
• 2:47
  Speaker 3: So assuming another bunch of companies, some exposed to domestic economy,
• 2:52
  Speaker 3: some less so. But you know, with fingers christ we
• 2:55
  Speaker 3: might be seeing the bottom of the innings a downgrade
• 2:58
  Speaker 3: cycle for New Zealand.
• 2:59
  Speaker 2: Yeah, here's hoping, Shane, it's good to talk to you.
• 3:00
  Speaker 2: As always, we talk to you next week again. Look
• 3:02
  Speaker 2: after yourself. Shane Solely harbor Assic Management.
• 3:04
  Speaker 1: For more from News Talks' b listen live on air
• 3:08
  Speaker 1: or on line, and keep our shows with you wherever
• 3:10
  Speaker 1: you go with our podcasts on iHeartRadio