2025 January
As we step into 2025, we wish you a joyful, healthy, and prosperous new year. This new beginning brings fresh opportunities and renewed hope as we look forward to the year ahead.
As 2024 drew to a close, the year finished much as it had begun, with a strong focus on inflation, stagnant interest rates and Australia’s housing market.
Life Goes On
Markets dipped in December as strong jobs figures in US lessened the likelihood of further rate reduction in the short term. Overall the December quarter and 12 months to 31 December delivered strong returns.
Globally
Stock markets closed out a strong year on a weaker note with the Dow Jones ending December around 5% lower and the S&P/ASX 200 falling a little over 3% as the anticipated ‘Santa rally’ did not eventuate.
Gaza cease fire and release of hostages has commenced.
Trump is sworn in as the president of the United States.
In Australia
In December, the Board left the cash rate at 4.35% which hasn’t moved in 14 months. All eyes will be on the RBA announcement in February.
House prices continued to soften, with national home prices recording the first decline in almost two years in December.
The Australian dollar ended the year at just under 62 US cents.
Melbourne voted as fourth best country to live in by TimeOut : The tourism publication examined the city’s liveability, food, nightlife and culture.
So its ” Steady as she goes” as we embark on navigating the New Year 2025
As always , we are here to navigate the way forward, support you to achieve financial and personal wellbeing and a full and bountiful life.
“Happy Reading”
Eleonor
Market Overview 2025
Bond yields rose materially after the “hawkish” US Federal Reserve meeting on 18 December. The accompanying Summary of Economic Projections revised up both GDP growth and inflation expectations over the forward horizon while simultaneously lowering the expected number of US interest rate cuts.
More volatile and constrained – the macro investment outlook for 2025
2024 saw another year of strong investment returns on the back of falling inflation, global rate cuts and growth and profits better than expected. US shares were particularly boosted by AI related enthusiasm and optimism that President elect Trump will boost the US economy with tax cuts and de-regulation.
Say yes – what’s the best that could happen?
As we step into a new year, it’s a good opportunity to think about what we want to embrace and experience in the year to come. Amidst all the resolutions that might be broken before we know it, one powerful and positive way to approach the new year, is to make this the year of saying yes.
2025 January “Steady as she goes”
In the journey of achieving your financial and lifestyle goals, think of your personal financial strategy as the flight plan guiding us to your desired destination. Over the past year, we’ve navigated through varying market conditions, achieving solid results for the calendar year 2024.
Be financially well organised
The more we can do to get our financial house in order and be financially well organised, the more we can reduce financial stress, promote financial wellbeing and increase our chance for a happy, healthy and productive life.
