Pete Wargent blogspot

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

5 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's one of the finest property analysts in Australia" - Stephen Koukoulas, MD of Market Economics, former Senior Economics Adviser to Prime Minister Gillard.

"Pete 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 & charts, the most comprehensive analyst I follow in Australia. If you follow Australia, follow Pete Wargent" - Jonathan Tepper, Variant Perception, Global Macroeconomic Research, author of the New York Times bestsellers 'End Game' & 'Code Red'.

"The level of detail in Pete's work is superlative across all of Australia's housing markets" - Grant Williams, co-founder RealVision - where world class experts share their thoughts on economics & finance - author of Things That Make You Go Hmmm, one of the world's most popular & widely-read financial publications.

"Wargent is a bald-faced realty foghorn" - David Llewellyn-Smith, 'MacroBusiness'.

Saturday, 8 July 2017

US jobs power back

Jobs growth solid 

US payroll employment increased by a very solid +222,000 in June, while the results for the preceding two months were also revised up. 

Over the past three months the economy has created an average of +195,000 jobs per month. 

81 consecutive months of employment growth is now by far the longest such streak in US history, although the pace of gains has often been steady rather than sharp. 

Over the first half of 2017 employment gains averaged +178,000 per month.

The economy appears to be bringing more people back into the workforce. The unemployment rate was reported at 4.4 per cent in June. 

Despite the strong headline jobs numbers, average hourly earnings increased by only 4 cents, meaning that the annual growth in earnings missed forecasts in rising by +2.5 per cent. 

Low rate environment

Some interesting food for thought here for Australia - where the unemployment rate has improved, but still remains at 5.5 per cent, with a high level of underemployment - and where the trimmed mean and weighted median measures of inflation have been tracking below the target 2 to 3 per cent range.

The Reserve Bank of Australia clearly isn't keen to see the cash rate fall any lower, yet wages growth has been very weak in historical terms.

With pacy wages growth not appearing likely any time in the immediate future, the possible sources of stronger inflation may include higher energy costs, and more lately a return to rental price inflation in Sydney and Melbourne.