Pete Wargent blogspot

Co-founder & CEO of AllenWargent property advisory & buyer's agents, 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

Wednesday, 29 January 2014

ANZ: The capex cliff

It's worth taking a minute or two to look at what the chart tells us about the so-called 'mining cliff' or 'capex cliff'.

Depending on cost overruns and whether any 'possible' or 'delayed' mining projects are given a green tick, Australia's mining construction capital expenditure could either fall quite a bit by 2016...or quite a lot!

If the answer is 'a lot' then this will represent quite a serious drag on GDP, and the rest of Australia's economy will need to step up to plug the gap.

It's one of the arguments for interest rates needing to staying low through 2014, especially as the unemployment rate is still in a bit of an uptrend.

The next capex survey is due for release by the Australian Bureau of Statistics on February 27.

For all the fears of mining capital expenditure collapsing over the last couple of years, it hasn't happened to date, but the chart below shows that it is surely in the post...