BanyanTree Investment Group

The latest Australian inflation data is only likely to increase investors’ expectations for the Reserve Bank of Australia (RBA) to cut the RBA cash rate further in the current easing cycle. Australia’s consumer price index (CPI) for all groups increased +0.7% for the June 2025 quarter or +2.1% on an annualised basis. The more closely … Read more

European equities are increasingly gaining favour among global investors at the expense of U.S. equities. Funds flow data and recent performance point to this fact. The question is whether this trend is sustainable? Europe’s STOXX 600 Index has experienced a sustained, long underperformance relative to U.S. equities (S&P 500 Index) since the global financial crisis. … Read more

Energy markets are receiving fair bit of airplay over the past few days as tensions in the Middle East have materially escalated and this morning one of Australia’s largest companies, Oil & Gas producer Santos Ltd (STO), has received an all-cash bid of $8.89 per share from Abu Dhabi National Oil Co (a state-owned company). Let’s … Read more

The RBA delivered a widely expected 0.25% cut to the cash rate at its recent monetary policy meeting, taking the official RBA cash rate to 3.85%. The Board noted the following in a statement accompanying the decision: “The Board judged that the risks to inflation have become more balanced. Inflation is in the target band … Read more

Tariffs uncertainty – need to do a deal Unfortunately, investors hoping for a quick resolution to tariff discussions so that markets and businesses can ultimately gain some level of certainty isn’t likely to be forthcoming any time soon. U.S. President Donald Trump announced sweeping reciprocal tariffs on 2nd April, with significantly higher tariffs on some … Read more

We have constantly communicated to clients since the start of this year, the first quarter / first half of 2025 was going to be volatile (see below) and therefore we had safeguards in our portfolios. This view hasn’t changed and to state the obvious is playing out. We would recommend clients to continue exercising a hold and … Read more

In February, this year, investors became increasingly worried about the growth trajectory of the U.S. economy. The market recently increased its probability of a recession in the U.S which has driven a notable correction in the U.S. equity markets in February & March. We note that the U.S. market makes up more than 70% of … Read more

The Reserve Bank of Australia (RBA) has delivered its first interest rate cut of 0.25% since it began its tightening cycle in 2022. Relative to most of its global peers in other developed markets, RBA is probably the last central bank to begin its easing cycle. However, the interest cut was accompanied with comments from … Read more

Labour market remains resilientIn line with market expectations, the latest Australian jobs data showed Australia’s unemployment rate at 4.0% as of December 2024. On a positive note, employment increased by 56,300 which was well ahead of expectations of 15,000, however this was driven by part-time jobs which may be perceived by the market as lower … Read more

At the start of every year market strategists from across the globe pen down their forecasts for the year. So, in keeping with this tradition, our first article for 2025 will aim to do as much for our readers. However, what we aim to present below are several non-consensus calls for 2025. They may seem … Read more