Pete Wargent blogspot

Co-founder & CEO of AllenWargent property advisory, offices in Brisbane (Riverside) & Sydney (Martin Place) - clients include hedge funds, resi funds, & private investors.

4 x finance/investment author - 'Get a Financial Grip: a simple plan for financial freedom’ (2012) rated Top 10 finance books by Money Magazine & Dymocks.

"Unfortunately so much commentary is self-serving or sensationalist. Pete Wargent shines through with his clear, sober & dispassionate analysis of the housing market, which is so valuable. Pete drills into the facts & unlocks the details that others gloss over in their rush to get a headline. On housing Pete is a must read, must follow - he is one of the better property analysts in Australia" - Stephen Koukoulas, MD of Market Economics, former Senior Economics Adviser to Prime Minister Gillard.

"Pete Wargent is one of Australia's brightest financial minds - a must-follow for articulate, accurate & in-depth analysis." - David Scutt, Business Insider, leading Australian market analyst.

"I've been investing for over 40 years & read nearly every investment book ever written yet I still learned new concepts in his books. Pete Wargent is one of Australia's finest young financial commentators." - Michael Yardney, Australia's leading property expert, Amazon #1 best-selling author.

"The most knowledgeable person on Aussie real estate markets - Pete's work is great, loads of good data and charts, the most comprehensive analyst I follow in Australia. If you follow Australia, follow Pete Wargent" - Jonathan Tepper, Variant Perception, Global Macroeconomic Research, and author of the New York Times bestsellers 'End Game' and 'Code Red'.

"Pete's daily analysis is unputdownable" - Dr. Chris Caton, Chief Economist, BT Financial.

Invest in Sydney/Brisbane property markets, or for media/public speaking requests, email pete@allenwargent.com

Monday, 23 April 2012

Risk on (again)

In spite of the dangers posed by European government debts, institutions piled back in to risk assets over the past week, with the Dow Jones recording its biggest weekly gain in five weeks, closing on Friday at just above 13,000 points.

Aussie market has bounced back but nowhere near as convincingly:


Despite all the talk of doom and gloom we have heard over the past few years, the truth is that it has been a wonderful few years to be invested in certain risk assets, in particular US equities, which have doubled in value since their financial crisis nadir.

Australian property, too, is showing some signs of life, with auction clearance rates in Sydney have crept up from 50% to 60% in the past few months.

The key Australian inflation data is out on Tuesday Oz time (I’m writing this in the Balearics – no, that’s not a joke, I actually am sailing through the Balearics – so I’ve lost most sense of times and dates this past week).

There has been some talk in the financial press that Prime Minister Julia Gillard is likely to apply some ‘gentle pressure’ on the Reserve Bank of Australia (RBA) to the cash interest rate. 

Can’t really blame her, if the opinion polls are any kind of useful guide, Gillard is on borrowed time and ‘Dr. No’ (aka Tony Abbott, leader of the opposing Coalition) will soon be getting his chance – so Gillard may as well push for interest rate cuts and anything else that furthers her cause.

Gillard’s unpopularity given the strong position of the Australian economy is quite extraordinary.