Retail Stocks

[BlackPeter]

Lots of fixed mortgages have rolled off higher rates in the last year. Reports also that the average weekly rent nationwide has dropped $25 year on year.
Fonterra payout will be a meaningful tailwind to the retail sector.

Hmm ...

Fonterra payout hardly impacted on the March sales of Glassons. It only came in April, didn't it, and while it might feed the iron desease (our tractor shops seem ot have increased their stock) and some outstanding world trips - I doubt it will do a lot for increasing the general retail spending?

Some rents going down a bit (what $25 per week), but try to console that with doubling the bill at the petrol station. We don't drive too much (but live rural) - and for us its already roughly $200 per month more for fuel.

New mortgages already going up again ... and anybody with a little bit of brain won't use any temporary reduction in buying a new T shirt, but increasing their payback before the next high interest rate comes back.

So, yes, some things came down a wee bit, and I am sure most of the people in this forum will cope, but for the general population - they are financially stretched, and currently its certainly worse for them then it used to be a year ago.

Anyway ... still interested to see where the supposed increase in retail expenditure came from, but I guess more time will bring more data.

[lorraina]

From Westpac today;
ASX RELEASE
14 April 2026
ITEMS IMPACTING HALF YEAR 2026 RESULTS
Westpac is well positioned to support customers amid ongoing geopolitical uncertainty.
In addition to disclosing the accounting treatment of the pending sale of the RAMS mortgage portfolio,
we're providing clarity on the initial impacts of the Middle East conflict.
With the supply shock from the energy market disruption expected to result in higher inflation
and higher interest rates, an expected slowing in economic growth will create a more challenging
environment for some customers