Economic and market news
In Australian economic and market news this week, new data show that 50,000 more people were employed in June than in May. However, unemployment also grew by 10,000 people, which meant that the unemployment rate rose slightly (by less than 0.1 percentage points) to 4.1 per cent. The participation rate rose to a near record 66.9 per cent.
The jump in employment was more than double what was expected and highlights the continued resilience of the jobs market to the significant tightening of monetary policy. Economists said the data show the labour market is not a barrier to further official interest rate rises and, as such, the market upped its bets on an increase at the August policy meeting.
In overseas news economic news, the Chinese central bank surprised markets on Monday with an official interest rate cut of 10 basis points. This was after new data showed that the economy had decelerated in the second quarter to 4.7 per cent, the slowed pace in a year.
Australian indices
ASX 200: Fell 0.35 per cent over the week to close at 7971.1 points on Tuesday.
All Ordinaries: Fell 0.42 per cent in the period to close at 8208.6 points on Tuesday.
Government Bonds
Government Bond Yields (Source: Bloomberg)
|
NAME |
COUPON |
PRICE |
YIELD |
1 DAY |
1 MONTH |
1 YEAR |
|
GTAUD2Y:GOV Australia Bond 2 Year Yield |
4.25
|
100.12 |
4.17% |
+4 |
+16 |
+17 |
|
GTAUD5Y:GOV Australia Bond 5 Year Yield |
3.25 |
96.52 |
4.06% |
+4 |
+12 |
+17 |
|
GTAUD10Y:GOV Australia Bond 10 Year Yield |
3.75 |
95.26 |
4.34% |
+4 |
+14 |
+34 |
|
GTAUD15Y:GOV Australia Bond 15 Year Yield |
3.25 |
85.94 |
4.55% |
+4 |
+15 |
+35 |
Reserve Bank of Australia (Source:RBA)
|
RBA CASH RATE TARGET (RBATCTR:IND) CURRENT (per cent) |
MOST RECENT DECISION (percentage points) |
MOST RECENT CHANGE (percentage points) |
1 YEAR PRIOR (per cent) |
|
4.35 |
+0 (18 June 2024 ) |
+0.25 (7 November 2023) |
4.10 |
Currencies (source:RBA)
As at the close on 23 July the AUD/USD had fallen another 1.56 per cent over the week, closing at 0.6633 on Tuesday. The AUD/RMB had also fallen, 1.44 per cent, in the period, closing at 4.8250 on Tuesday.
Venture Capital
Cardihab
Stoic investee Cardihab has been chosen to participate in the Brisbane Economic Development Agency MedTech accelerator program. This initiative is aimed at fast-tracking global investment and market entry for local MedTech organisations. It connects startup or early-stage innovation companies with international capital funders and strategic partners.
Certa Therapeutics
Stoic investee Certa Therapeutics has shared the important news that the European Medicines Agency has granted it an Orphan Drug Designation for its lead drug candidate, FT011, as a potential treatment of Systemic Sclerosis. The announcement follows the Fast Track and Orphan Drug designations granted for FT011 by the Food and Drug Administration in the United States.
Kinoxis
Stoic investee Kinoxis revealed that its CEO, Hugh Alsop, is the inaugural Brooker Consulting ‘CEO of the Year’. The award is for individuals who have made a significant commercial, educational, member-driven or research-based contribution to their organisation or the sector. Hugh was recognised for his contribution to the biotech and life sciences industry.
Property
In property news this week, auction clearance rates held steady this week at 71.1 per cent. This was despite a 14.2 per cent uptick in auction volumes to 1,727, in line with the same time last year.
