“The investor’s chief problem, and even his worst enemy, is likely to be himself.” – Benjamin Graham

This month we published an article titled: “Why We Freeze: How to Profit in Times of Fear”.  The article explores how market corrections, like the recent ASX and S&P 500 declines, can trigger investor paralysis driven by behavioural biases such as loss aversion and herd mentality. It argues that these moments of fear often present rare (yet possibly uncomfortable), attractive buying opportunities – if investors can act with discipline and conviction.

Please read or listen at the following link: www.blackwattlepartners.com/how-to-profit-from-the-market-panic/

Australian Market

Australian equities faced continued headwinds in March, with the S&P/ASX 200 Total Return Index declining by 3.4%, marking the second consecutive month of losses. Investor sentiment was dampened by a combination of global trade tensions, domestic economic softness, and cautious central bank rhetoric.​

Monetary Policy: The Reserve Bank of Australia (RBA) maintained the cash rate at 4.1% in April, following a 25bps cut in February.

Sector Performance: The market exhibited a bifurcated performance:​

• Earnings season volatility persisted, with the market penalising companies that missed expectations.
• Technology stocks were particularly vulnerable, declining close to 10%, while Consumer Discretionary stocks fell by 6.3%.
• Small Resources rose by 4.6%, driven by a surging gold price amid geopolitical tensions and tariff risks.​ Small Industrials fell by 6.7%, with Technology, Financials, and Consumer stocks underperforming.​

…To read the full version, or listen to a summary, please click the links below:

Blackwattle CIO and Partner, Michael Skinner, shares his thoughts with the Australian Financial Review on how investors often hesitate in the very moments they have been waiting for.

“Markets are in turmoil. Again.
In the first week of April, over $200 billion was wiped off the ASX 200. The index has now fallen more than 10% from its February high, officially in correction territory. On Wall Street, nearly $US5 trillion vanished from the S&P 500 following the announcement of sweeping U.S. tariffs.
Fear, once more, has gripped investors. And as history often demonstrates, this fear will cause many to freeze.”

To read or listen to the article please click the links below: