Market & Portfolio Update - August 2025
The global share market (represented by the MSCI World Gross Index) was up +2.6% in NZ dollar terms in August. All eyes were on the largest publicly traded company in the world, Nvidia, as the AI chip producer released their latest earnings report, which soundly beat investors’ expectations of sales and earnings.
Chair of the US Federal Reserve, Jerome Powell, suggested the balance of economic risks had shifted after the release of US employment data for July indicated the US labour market was slowing more than expected. As a result, the US Federal Reserve could reduce interest rates further to stimulate the economy.
The NZX50 (index of the 50 largest listed companies in New Zealand) returned +0.9% in August. This was supported by a strong month from A2 Milk, which was up +21% after announcing the acquisition of Yashili NZ Dairy and its Pōkeno infant formula plant.
As expected, the Reserve Bank of New Zealand (RBNZ) cut the Official Cash Rate (OCR) by 0.25% to 3.00%. However, the RBNZ now forecast the OCR to bottom out at 2.55% versus 2.85% in May. This was a pivot from May. As a result, investors are now expecting a 0.25% OCR cut in both October and February.
This article is for general information purposes only and does not constitute financial advice. The content is based on information current at the time of writing and may be subject to change.
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Maximise Your Miles: Financial Tips for Frequent Flyers
Whether you’re a young Kiwi planning your OE (overseas experience), a family about to embark on that long-awaited trip to Disneyland, or a seasoned business traveller hopping between meetings in Singapore and Sydney, the excitement of travel is unbeatable. But with every adventure comes a bit of financial planning to ensure your holiday memories aren’t clouded by an unexpected hit to the wallet.
Market & Portfolio Update - January 2026
After strong gains in 2025, the global share market (represented by the MSCI World Gross Index) took a breather in January, returning 0.1% in NZ dollar terms. While the ‘Magnificent 7’ (the seven largest US-listed companies, including Google, Microsoft & Apple) have been large drivers behind the recent gains seen from the US share market, January told a different story. There appeared to be ‘catch-up’ trade where investors moved out of concentrated tech positions and into the rest of the market, with the Russell 2000 index (a widely regarded proxy for smaller US companies) having a strong month. This was generally seen as improving confidence in the broader US economy.