Liontrust's Williams: Australia will remain a bad news story

clock

Mark Williams, manager of the Liontrust Asian Income fund, says the 6% fall for the Aussie against the dollar last month may just be the start of the bad news for the country's economy.

September has seen a material decline in the Australian dollar against the US$ which at writing on the 25th of September has fallen 5.8%, and is now 7.2% lower than this year's peak. The equity returns ytd are marginally negative (-0.8%) in US$ terms and we see no reason to increase our relatively low exposure to the market given the negative dynamics are likely to continue. Signs of Australia's weakness have emerged in what has, at best, been mixed recent data. Although August saw a record high additional 121,000 jobs, the unemployment rate remains stubbornly elevated at 6.1%. Mor...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Economics

Early Powell departure could be an 'unexpected gift' for EMs

Early Powell departure could be an 'unexpected gift' for EMs

Trump claims he will replace chair sooner

Eve Maddock-Jones
clock 01 July 2025 • 3 min read
BoE's Andrew Bailey: Pick-up in inflation makes outlook uncertain

BoE's Andrew Bailey: Pick-up in inflation makes outlook uncertain

UK inflation at 3.4%

clock 27 June 2025 • 2 min read
Jerome Powell warns of long term inflation if Trump settles on higher tariffs indefinitely

Jerome Powell warns of long term inflation if Trump settles on higher tariffs indefinitely

Policies' economic impacts ‘uncertain’

Eve Maddock-Jones
clock 25 June 2025 • 3 min read
Trustpilot