Australia…1 Hour In… ASX Up 9 Points

By Scott Phillips | More Articles by Scott Phillips

The Reserve Bank will make an Interest Rate decision at 2.30 pm this afternoon. I haven’t seen anybody predicting a change, but it’s interesting to note that influential economist from Westpac, Bill Evans, is saying the RBA should consider negative rates if the economy continues to deteriorate. Only last week the RBA Gov Lowe said negative rates were “highly unlikely”.

– ANZ (-0.1%); will its NZ Finance Business UDC Finance to Shinsei Bank for NZ$762m.

– Brickworks (+1.4%); said its sales revenue in Australia has dropped 10% in the four months to May as a result of the virus. However, sales revenue in its other major market, the United States, is up 26%.

– Evolution (-2%); has sold its Cracow gold mine in Qld, selling it to Aeris Resources.

– Iress (-3%); back trading after completing its $150m placement. Last sale $10.89 vs raising price $10.42.

So far 1.35m Aussies have taken the opportunity to withdrew Super early. Of those, 40% saw no drop in income. What has it been spent on?

– 64% spent on discretionary (clothes, food etc)

– 14% repaid personal debts (credit cards, mortgages, buy now pay later)

– 11% on gambling (Harry’s Boy in the 3rd at Kembla Grange a better option for the Super …..!)

Source; Accenture / Twitter

Scott Phillips

About Scott Phillips

Scott has over 35 years experience in Australian equities, starting as a “chalkie” and trader on the Stock Exchange Trading Floor and spending the last 25 years advising and trading for International Institutions. He has been an Executive Director at JPMorgan and Nomura, a Governor of the Australian Stock Exchange and was recently awarded a Lifetime Achievment award by the Australian Stockbrokers Association. Now at Ascot Securities, Scott focuses on advising Family Offices, offshore Soveriegn Funds as well as a growing book of domestic Professional Investors.

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