by Dejan Pekic
Market Metrics: US Inflation
Posted by Dejan Pekic
Tariffs are bad news because they increase the cost of goods however it appears that the US Tariff War is proving to be a one-time jump in prices.
The impact of the tariffs is being described as an inflation ‘camel hump’ and if inflation does subsequently reduce then it will be good news for all growth assets (property and shares).
Lower inflation supports all asset prices for longer, it certainly does not mean that we will not have a asset price correction/crash instead it implies that the next correction/crash is further away.
Fortunately, we do not need to concern ourselves with the timing of the next correction/crash because Benjamin Graham’s Value Investing Principles teach us that all we need to do is remain invested according to our appetite for risk and buy more quality assets when asset prices fall.
Our business is based on referrals, so if you have family, friends or colleagues that want advice please ask them to contact us.
At Newealth we are always looking to support and promote our clients wherever possible and if you have any ideas or comments, please feel free to email me or to call me on +61 2 9267 2322.
Related Posts
Federal Budget changes to CGT will affect a popular lump-sum super strategy from mid-2027. Here's what pre-retirees need to know before then.
A Will is not enough to protect family wealth. Learn what your Will won't cover and the estate planning decisions that safeguard wealth for future generations.
A new OECD report puts Australia's company tax rate second only to Colombia. Here's what's behind it.
