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Speaker 1: Shane Soli Harbor Asset Management is with US high Shane. Hello,

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Speaker 1: all right, so we've got third week of the conflict

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Speaker 1: starting now. Got the oil price is sitting above one

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Speaker 1: hundred bucks a barrel. How have the investment markets reacted

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Speaker 1: and what about the local markets?

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Speaker 2: Yeah, we've seen more de risking a couple of different ways.

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Speaker 2: We can see that the long term bond rates, which

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Speaker 2: are driven by inflation concerners and risk premiums going up

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Speaker 2: there up about zero point three percent, So US tenure

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Speaker 2: go my bonds four point three percent. Locally we're about

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Speaker 2: four point seven percent. That takes us right back to

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Speaker 2: where we were at younger, So that's a bit of

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Speaker 2: a hurdle in terms of borrowing a shoe market. We've

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Speaker 2: seen the USHU marker down was down again on Friday

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Speaker 2: night about point six a percent, down three point six

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Speaker 2: percent since their action stature. We're locally we're down about

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Speaker 2: four and we're seeing a sexty level. Things like energy utilities,

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Speaker 2: consumer stable they're doing okay. The ones that are week

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Speaker 2: at industrials, materials, consumer discretion ry.

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Speaker 1: Can the market settle down? Do you think if the

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Speaker 1: conflict continues we.

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Speaker 2: Might continue to see a bit of d risking until

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Speaker 2: we understand the scope and the bread of the action.

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Speaker 2: We look back at what happened with the Russian invasion

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Speaker 2: of Ukraine. We saw this's early on shock and then

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Speaker 2: it took us a little while to stabilize as we

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Speaker 2: understood the scope of the actions and really understand what

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Speaker 2: that meant for supply chains. But you know, while US

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Speaker 2: and Irana looking for our friends and the new team,

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Speaker 2: is this balance between opening up the Straits or meres

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Speaker 2: and the risk of internationalization. So yeah, a lot going

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Speaker 2: on there.

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Speaker 1: And so the markets today a bit of a week's start,

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Speaker 1: but they started to trade a little bit better.

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Speaker 2: What happened, Yeah, you're bang on it. We started with

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Speaker 2: a really weak start. The Brent oil price rose three

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Speaker 2: point three percent on the open, heading about one oh

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Speaker 2: six fifty one hundred and six US fifty year barrel.

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Speaker 2: After this cag island bombing by the monitary Tabeits by

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Speaker 2: the US, and then it's falling back of the days

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Speaker 2: round one, four five right now. The Uranium foreign minister

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Speaker 2: are Ash I'm not getting his name right here there,

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Speaker 2: solely came out and saying that hey, look, the Straits

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Speaker 2: are only closed to our enemies. It's open to the

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Speaker 2: good guys. Mister Trump's out there still things up. He's

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Speaker 2: saying Aron really wants to do a deal that but

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Speaker 2: he's prepared to hit cat on and again and he's

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Speaker 2: going to delay some up with Chinese president if mister

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Speaker 2: g doesn't send ships to help out in the golf

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Speaker 2: as well. So we actually saw a she make it

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Speaker 2: down about zero point two percent, not a head of

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Speaker 2: a lot. Today on like training it was down about

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Speaker 2: half percent one stage. And as we speak, we're actually

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Speaker 2: seeing the US futures market this is the indication of

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Speaker 2: what must up about half a percent, and European teaches

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Speaker 2: up about point three percent. So the market's trying to

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Speaker 2: read through and say we might have seen the worst.

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Speaker 1: Yeah. Interesting, Hey, thank you very much. Shane has always

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Speaker 1: talked to you. Next week Shane Sley, Harbor Asset Management.

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