Any guesses to market reaction if labor gets in?

Discussion in 'Share Investing Strategies, Theories & Education' started by Ouga, 14th May, 2019.

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  1. Ouga

    Ouga Well-Known Member

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    "Trying is the first step towards failure" Homer
    Hi guys,

    I am curious to see whether you have any guesses or theories as to what may happen to the market should labor get voted in?

    I am thinking we may see some kind of small drop, but who knows really. I wouldn’t mind picking up some cheaper VAS, but I am also wanting to add some VGS and it would probably move in the other direction.
     
  2. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    Surety is worth a lot in the eye of the beholder

    Same old same old I suggest for a while

    ta

    rolf
     
  3. Peter_Tersteeg

    Peter_Tersteeg Finance broker and strategist Business Member

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    I suspect the market has already assumed a Labor win. The right question might be what happens if Liberal win?

    Any market reactions will probably take place as they put legislation in place. A little bit of a boom before negative gearing is changed seems likely.
     
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  4. Nodrog

    Nodrog Well-Known Member

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    Change of Gov’t here is the least of your worries if you look further afield.
     
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  5. Ouga

    Ouga Well-Known Member

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    Oh it’s not a worry at all!
    Just a bit of guessing fun.
    Has zero impact on strategy or course of action.
     
  6. Jamesaurus

    Jamesaurus Well-Known Member

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    Likely to get VGS cheaper than today later this year due to protectionist global politics w Brexit, US/China, NthKorea all factors. Aus politics is a drop in the ocean..
     
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  7. Ouga

    Ouga Well-Known Member

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    Sure is!
    Was more thinking in terms of the AUD taking a hit if future economic growth is perceived to slow.
     
  8. Jess Peletier

    Jess Peletier Mortgage Broker - Australia Wide Business Member

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    Can you please expand on that? Interested to hear your thoughts :)
     
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  9. Morgs

    Morgs Well-Known Member

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    Agree with sentiments that it is priced in. Labor are a sure thing. They're paying $1.15 for the win on Sportsbet!
     
  10. Barny

    Barny Well-Known Member

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    I don’t think markets have factored everything in. The big one is capital gains tax on shares if labour wins, buying prior to jan 2020 allows 50% capital gains tax.
     
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  11. Air_Bender

    Air_Bender Well-Known Member

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    Honestly at the moment I'm more concerned with what the US/China trade war is doing to the global market. Not good.
     
  12. Speede

    Speede Well-Known Member

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    Truth.....but labor is still crap for Aus.
     
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  13. virgo

    virgo Well-Known Member

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    That's why i am shoving monies (non concessional contribution) into my SMSF; and investing inside it..as i am close to retirement..

    Or am i mistaken and Labour is also going to touch the 15%/10% tax rate for SMSF?:eek: