Market & Portfolio Update – October 2024
The Reserve Bank of New Zealand reduced the Official Cash Rate from 5.25% to 4.75% in October. While an interest rate cut was widely expected, the extent of the cut was being debated leading up to the announcement. The Reserve Bank felt inflation was comfortably converging to the midpoint of their 1-3% inflation target and decided on a 0.50% interest rate cut. The market was relatively pleased with the size of this cut, helping the NZX50 finish the month up a modest +1.7%.
The global share market had a positive month, up +1.6%. The US market had a flat month, with investors preparing themselves for the US election. While the election result isn’t expected to impact markets in the long term, certain industries directly impacted by different policies are expected to portray short-term movement depending on the election result.
Australia reported inflation of 2.8%, with the market expecting interest rates to remain steady at 4.35% for a while as the Reserve Bank still wants to see significant progress on their underlying inflation.
Lifetime Book Club: Stillness is the Key by Ryan Holiday
In a world that rewards speed, noise, and constant movement, this book offers a different perspective. One that suggests clarity, better decisions, and a more meaningful life do not come from doing more. They come from slowing down.
This is not a productivity hack or a call to retreat from real life. It is a thoughtful reminder that stillness is not weakness. It is a strength.
Mastering the New Year: The Psychology, Power, and Precision of Goal Setting
For many, the beginning of a new year signifies a fresh start, a blank canvas upon which we can paint our aspirations and ambitions. Goal setting is not just a yearly ritual; it is a powerful tool that empowers individuals to strive for personal growth, achieve milestones, and lead more fulfilling lives.