Market & Portfolio Update - July 2022
Prices of goods and services have continued to rise, with inflation numbers exceeding expectations around the world. In New Zealand we hit a 30-year high of 7.3%. Since this was released there has been a drop in a wide range of commodity prices, including oil, which has given hope to investors that we may be past the peak of inflation.
Central banks continue to raise interest rates in an effort to slow down business and consumer spending and to bring inflation back to more sustainable levels. NZ, Europe and US are amongst a long list of central banks that increased rates by another 0.50%-0.75% in the last month.
Labour markets remain historically tight, helping the perseverance of the economy. The most recent data shows unemployment in New Zealand at 3.3%, considerably lower than the 5% average that has been seen over the last 15 years.
Lifetime Book Club: Happy Money: The Science of Happier Spending by Elizabeth Dunn & Michael Norton
“Money can't buy happiness – unless you know how to spend it.”
That’s the heart of Happy Money. This isn’t your usual guide to budgeting, saving, or investing. It’s a fascinating, research-driven look at how to turn spending into something that genuinely makes you feel good – not just for a moment, but in a meaningful, lasting way.
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