Investors position for rocky markets in new financial year
Fund managers are preparing for sustained inflation and rising interest rates by avoiding consumer-facing stocks and bolstering their exposure to the resources sector.
Investment banks and fund managers are bracing for more volatility across the Australian sharemarket in the new financial year as central banks step up their delicate challenge of controlling raging inflation without triggering a global recession.
While the local market has held up better than its international peers this calendar year thanks largely to its weighting towards the resources sector, strategists are positioning for a sustained period of elevated consumer prices and rising interest rates over the coming months.
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