DECEMBER 2018 QUARTER MARKET OVERVIEW & MARKET OUTLOOK 2019
By Nicola Beswick
We are pleased to provide our Market Overview for the December 2018 quarter and our Market Outlook for 2019.
Investment markets turned nasty in the December quarter as investor sentiment turned decidedly negative for the first time since February 2016. All market asset classes were “hit” with markets impacted by a myriad of factors which wiped out gains which had been generated earlier in 2018. Index results for the quarter, half year and calendar year are shown in the table below:
| December Quarter 2018 | Half-Year to December 2018 | Calendar Year 2018 | |
| Australian Shares (S&P/ASX 200 Accumulation Index) | -8.24% | -6.83% | -2.84% |
| International Shares (MSCI World ex–Aus in AUD) | -11.10% | -4.56% | 1.42% |
| A–REITs (S&P/ASX 200 A–REIT Accumulation Index) | -1.91% | -0.08% | 2.91% |
| S&P/ASX Small Ordinaries Accumulation Index | -13.70% | -12.75% | -8.67% |
Other important figures at 31 December 2018 compared to the previous year and half year were:
| 31/12/2018 | 30/06/2018 | 31/12/2017 | Calendar Year 2018 | |
| RBA cash rate | 1.50% | 1.50% | 1.50% | Flat |
| 90-day Bank Bill Swap rate | 2.02% | 2.07% | 1.77% | 14.12% |
| 10-year Government Bond rate | 2.32% | 2.649% | 2.64% | -12.12% |
| Gold price | US$1281.30 | US$1251.30 | US$1309.80 | -2.18% |
| Oil (WTI) | US$45.41 | US$74.15 | US$60.42 | -24.84 |
| Iron Ore | US$71.30 | US$64.73 | US$72.40 | -1.52% |
| Australian dollar | US 70.52c | US 74.05c | US 78.14c | -9.75% |