The Australian sharemarket belatedly caught up to the global relief rally on the outcome from France's presidential election. Having lagged on Monday with a 0.3 per cent gain, the S&P/ASX 200 index climbed 40.2 points, or 0.68 per cent, to 5912 after the US S&P 500 index gained 1.6 per cent over two sessions on relief France was set to elect centrist, pro-euro Emmanuel Macron as president on May 7.


The bounce in global stocks also raised hopes the global reflation rally would gain fresh impetus, prompting some rotation from bonds into stocks. US 10-years to 3 points to 2.30 per cent, while Government 10-year yields rose 3.5 points to 2.63 per cent as consumer inflation came in at 2.3 per cent, below the consensus forecast but in the Reserve Bank's target range for the first time in almost three years. The Australia dollar lost US0.5¢ to US75.10¢ as higher US yields strengthened the US dollar against most currencies except the euro.

What this means for you:
For most people events like the French election have little impact on their lives but global events like this can have an impact on our superannuation and other investment funds particularly if there's exposure to global markets. When we meet with clients to discuss their superannuation and investments we always look at their risk profile so we have a strong understanding of how they feel, and how they would react to movements in global markets.

This risk profiling along with understanding our clients goals ensures that we recommend the most appropriate superannuation or investment accounts for our clients. If you would like to find out more about reviewing your superannuation or investment goals then give us a call.
If you would like to review your current structures, contact us today on 5482 2855.