Digital Finance Analytics (DFA) Blog

The Bank of England lifted the cash rate by 0.25%, the 12th rise – to 4.5%. They held a press conference of over an hour, and mindful of the recommendations relating to the RBA review highlighting weakness in communication, I picked out some highlights from the UK session. This includes the basic rationale for the … Continue reading "The Bank Of England Lifts Rates Again! [Podcast]"

This weeks rant was recorded later than normal, but we explored some fundamental questions about the RE industry, and how agents are rewarded. No wonder we see some poor behaviors. And we look at the importance of keeping calm given the falls in listings, and what happens when people fail to take the right steps … Continue reading "Its Edwin’s Monday Evening Property Rant! (Late This Week!!) [Podcast]"

Breaking news, as Westpac reverses its decision to close some of its regional branches, in response to the pressure form the Senate inquiry (which we managed to get up). I discuss this with Robbie Barwick from the Citizens Party. The job is not done yet, and we need to ensure the Treasurer reverses his support … Continue reading "Westpac Wilts Under Scrutiny: With Robbie Barwick… [Podcast]"

The latest from our modelling showing more pressure piling on households as mortgage rates and rents rise faster than incomes, and costs of living continue to bite hard. http://www.martinnorth.com/ Go to the Walk The World Universe at https://walktheworld.com.au/

Dale Webster at The Regional has caught CBA out, as despite their promise not to close regional branches while the Senate Inequity is running, they are, by carefully defining down “Regional” to a very narrow definition, conveniently leveraging the ABS definitions, despite elsewhere calling these same regions Regional. https://www.theregional.com.au/post/commonwealth-breaks-pledge-to-pause-regional-bank-closures The Senate needs to hold CBA … Continue reading "CBA Breaks The Pledge To Pause Regional Bank Closures! [Podcast]"

We continue to see massive swings in prices, and I need to remind you that while major players continue to benefit from these wild gyrations in perceived value – as shown in recent trading results, (not least because they can programme trades using algos, and harvest income from the movements) – retail investors hardly benefit, … Continue reading "The Volatility Squeeze [Podcast]"

The latest RBA’s Statement On Monetary Policy (More than 80 pages) said very little which was new, with inflation not expected to land within their target zone until 2025, with lower growth and higher unemployment. They reconfirmed an expectation rates could still go higher. They did try to defend corporate profits as not driving inflation…. … Continue reading "The RBA’s Statement On Monetary Policy Says Not A Lot! [Podcast]"

The continued pressures on US Regional Banks highlight the risks created by the changed interest rate environment – even if the scenarios are different from the 2007-8 GFC. But banks are under pressure as margins are compressed, and are needing to revisit their strategies, as both ANZ and Macquarie reposted this week. In fact, a … Continue reading "Not 2008 Again, But A Crisis Nevertheless… [Podcast]"

As discussed in The Conversation, the RBA was made subservient for a reason. As prime minister, Chifley had the principle enshrined in the Commonwealth Bank Act of 1945, and it was later enshrined in the Reserve Bank Act of 1959. The ultimate supremacy of the government over the Reserve Bank board was hard won – … Continue reading "A Truly Independent RBA? [Podcast]"

The Fed lifted rates again to 5 to 5.25%, but the press conference did not go to plan and the markets turned to thinking a pivot was likely. Bond yields moved, and concerns about a spreading banking crisis grew, as PacWest said it was looking at options. Meantime, the FED holds to its view there … Continue reading "The Feds Nasty Surprise! [Podcast]"