More from the Australian Financial Review (gated article: RBA rate outlook in turmoil); this time with some views on equity markets:
Platinum Asset Management founder and billionaire Kerr Neilson:
- “Yes, we are prepared to buy selectively here and in some cases fears about international travel, tourism (Re the Ebola outbreak) “could throw up superb opportunities, but also add to the doubts about world growth in the short term
- In the past week, the International Monetary Fund has downgraded world growth chiefly because Europe risks a triple-dip recession
- Concerns about a very weak, low growth environment has resulted in a sell-off of typically 30 per cent among reasonable quality cyclicals, some will prove reasonable investments at these prices”
BT Investment Management head of equity strategies Crispin Murray:
- said a correction in global markets appeared likely
- “We’ve got a series of weaker data points on economic growth from around the world. That, I think, has led to a building concern we’re going to get a policy mistake whereby policy makers are unable to deal with challenges they face, for example: Europe just can’t resolve their slowing growth
- There’s no reason to think they’re going to do anything now that will jeopardise [economic stability]. In our view what we’ll be seeing is what is really the first significant correction we’ve had for some time.”
