Infrastructure (and ‘infrastructure-like’) companies have lagged the broader ASX 300 since late June, amidst the ongoing headwind from rising bond yields. Despite the recent underperformance, the outlook for infrastructure remains positive, especially at this point in the economic cycle.
25th Oct, 2023
Recent updates from the ASX-listed general insurers, alongside the declaration of an El Niño event by the Bureau of Meteorology, have reinforced our constructive outlook for the domestic insurance sector, with our investment thesis for Insurance Australia Group (IAG) remaining intact.
18th Oct, 2023
Australian shares have been under pressure in recent months, largely due to ongoing strength in global bond yields. At a stock-specific level, this pullback has created attractive buying opportunities in select companies that have been oversold despite their strong fundamental outlooks.
11th Oct, 2023
The lithium sector continues to exhibit significant volatility. Critically, however, a positive structural outlook for lithium remains intact, which should support attractive long-term lithium prices and, by extension, significant cash generation from lithium producers.
27th Sep, 2023
Favourable supply/demand dynamics in the global energy market have pushed the price of oil >30% higher since late June to ~US$94 per barrel. The resilience of major economies and the lifting of pandemic lockdowns in China have contributed to robust global energy demand this year, while cuts from OPEC+ have tightened supply.
20th Sep, 2023
One of the key themes in reporting season was the positive impact of cost disinflation or deflation on certain companies. The Australian economy is in the early stages of disinflation, so has further runway on this theme.
13th Sep, 2023
The results of the Australian reporting season reveal a number of upgrade and downgrade themes for listed companies. We document the key themes of reporting season and detail how they are influencing moves in our portfolio.
30th Aug, 2023
As we hit the halfway point of reporting season, we have seen a resilient domestic and global economy support FY23 earnings. So far, there have been more beats than misses for FY23, but this positivity has not extended to upgrades for FY24.
23rd Aug, 2023