Pete Wargent blogspot

Co-founder & CEO of AllenWargent property buyer's agents, offices in Brisbane (Riverside) & Sydney (Martin Place), and CEO of WargentAdvisory (providing subscription analysis, reports & services to institutional clients).

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.

Monday, 9 November 2015

Don't drink, don't smoke...

...what can you do?

Well, some good news if you're part of the temperance movement, I suppose, with the cost of living for employee households rising by just +0.2 per cent over the third quarter...and less still if you don't drink or smoke. 

The ABS Selected Cost of Living Indexes revelaed only moderate increases for the year to September for employee households (+0.7 per cent), self-funded retirees (+1.2 per cent) and age pensioners (+0.9 per cent). 


The cost of living indexes were created by the Australian Bureau of Statistics (ABS) in order to answer the following key question:

"By how much would after tax money incomes need to change to allow households to purchase the same quantity of consumer goods and services that they purchased in the base period?"

The main contributors to the increase in living costs for employee households this quarter were increases in alcohol and tobacco costs (+1.2 per cent), or more specifically, tobacco and beer.

Smokes in particular were the target of a federal excise tax rate increase, which became effective from September 1.

The cost of living index increase for employee households this quarter was lower than the result for the Consumer Price Index (CPI) or official inflation due to a decline in mortgage interest charges, which are not included in the CPI figures. 

The Reserve Bank's latest Statement on Monetary Policy sees few inflationary pressures over the near term, with underlying inflation expected to track at the bottom of the target range at around 2 per cent.

I looked at the most recent inflation figures here.

In the meantime, go easy on the beer and fags.