Market & Portfolio Update - July 2024
The Global shares market had a positive month in July, gaining +4% in New Zealand dollar terms. In the US, over half of companies in the S&P500 index have released their latest earnings report, with over two-thirds beating analysts’ expectations. Ten of the eleven sectors in the US finished higher, with Technology being the only sector finishing the month lower.
US inflation crept below 3% for the first time since June 2023, breaking through the 3-4% range it has been hovering in for the last twelve months. Falling inflation and signs of rising unemployment have heightened investor expectations for Fed rate cuts in 2024 and 2025.
New Zealand’s share market had a strong month, up 5.8% in July. Many companies that are sensitive to interest rates had a strong month after the Reserve Bank of NewZealand hinted at potential rate cuts before the end of the year. While the Official Cash Rate was held at 5.50% in July, the Reserve Bank acknowledged monetary policy had significantly reduced inflation and expected it to return to within the 1-3% target range in the coming months. This was a significant change in tone and shifted many investors’ expectations of rate cuts as the Reserve Bank had considered hiking rates back in May.
Financial Planning: Mapping Out Your Financial Goals
When was the last time you sat down and not only set some goals, but mapped out the best way to ensure they are achieved? Goal modelling is more than just financial planning - it’s a roadmap to achieving what truly matters to you. It’s getting answers on what you could be achieving in life, and the best way to get there.
At Lifetime, we go beyond just the numbers to understand your life stages, your aspirations and your personal values.
Lifetime Book Club: Start With Why by Simon Sinek
Welcome to the Lifetime Book Club! This month, we’re exploring an inspiring read for anyone who’s passionate about purpose - Start With Why by Simon Sinek. Whether you’re leading a team, running a business, or just trying to find direction in life, this book is a powerful reminder of the impact of knowing your "why."