Register For Our Mailing List

Register to receive our free weekly newsletter including editorials.

The Waiting Game

  •   VanEck
  •   11 July 2024
  •      
  •   

According to VanEck's latest global economic outlook, for the second half of 2024:

  • Investors should continue to approach risk assets selectively.
  • For Australian equities, we would caution against over-exposure to companies deriving their earnings from households and focus on earnings resiliency, strong balance sheets and positive free cash flow. Australian banks and domestic cyclicals could feel the pressure. An approach that underweights those sectors could be prudent.
  • Despite a strong quarter, gold miners are still undervalued relative to the price of gold, and we think strong cash flows should see them continue to outperform the yellow metal into the backend of 2024. We could still see the US dollar come off and gold climbing to new heights.
  • Emerging markets are becoming the new developed markets. On a relative fundamental basis, emerging markets in both debt and equity complexes, offer a greater risk premia.
  • The “r” word should not be forgotten. While inflation has yet to be tamed by the RBA, a recession is still on Australia’s bingo card as the economy muddles through.

Download the full paper

  •   11 July 2024
  •      
  •   

 

Leave a Comment:

banner

Sponsors

Alliances

© 2026 Morningstar, Inc. All rights reserved.

Disclaimer
The data, research and opinions provided here are for information purposes; are not an offer to buy or sell a security; and are not warranted to be correct, complete or accurate. Morningstar, its affiliates, and third-party content providers are not responsible for any investment decisions, damages or losses resulting from, or related to, the data and analyses or their use. To the extent any content is general advice, it has been prepared for clients of Morningstar Australasia Pty Ltd (ABN: 95 090 665 544, AFSL: 240892), without reference to your financial objectives, situation or needs. For more information refer to our Financial Services Guide. You should consider the advice in light of these matters and if applicable, the relevant Product Disclosure Statement before making any decision to invest. Past performance does not necessarily indicate a financial product’s future performance. To obtain advice tailored to your situation, contact a professional financial adviser. Articles are current as at date of publication.
This website contains information and opinions provided by third parties. Inclusion of this information does not necessarily represent Morningstar’s positions, strategies or opinions and should not be considered an endorsement by Morningstar.