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Speaker 1: Jeremy Hutton lill Fit Asset Management is with me, Hi,

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Speaker 1: Jeremy good evening head. Now we spoke to Don Braid

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Speaker 1: not long ago. Main Freight share price has reacted well

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Speaker 1: to that result today, Am.

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Speaker 2: Yeah, Main Freight share price was up over six percent today,

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Speaker 2: So I reacted pretty well. And you know, I did

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Speaker 2: listen to Don just before and he did mention that

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Speaker 2: the first quarter was pretty tough for them, but the

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Speaker 2: second quarter was was much improved and then you know

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Speaker 2: the outlook as well, what they commented on is going

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Speaker 2: to be stronger again still. So it was a lot

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Speaker 2: better than what the market was anticipating and it hence

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Speaker 2: reacted pretty well. Now there can be a little bit

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Speaker 2: of noise around main Freight, you know, given it is

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Speaker 2: a very global business these days, and some of the

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Speaker 2: global news recently around you know, Tariff's global trade shipping

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Speaker 2: has been reasonably negative. But you know, the key thing

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Speaker 2: about Mainfreight to remember is that you know, the Australian

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Speaker 2: and the New Zealand divisions are a real powerhouse and

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Speaker 2: you know they continue to really drive the performance of

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Speaker 2: his business. And that was that was really strong again.

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Speaker 2: So investors would do well to remember that. But then

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Speaker 2: the other point that I found really interested, and he

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Speaker 2: mentioned this as well as on the local New Zealand data,

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Speaker 2: it's just you know, them seeing that their customer volumes

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Speaker 2: or same customer volumes are increasing versus last year. You know,

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Speaker 2: this is just a further indicator for me that you know,

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Speaker 2: the New Zealand recovery is underway and you know that

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Speaker 2: more activity is happening, which is really good.

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Speaker 1: Yeah, it is good. Now on the US chereman, we

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Speaker 1: have the share market recovering a little bit this week,

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Speaker 1: haven't we with the government shutdown potentially ending.

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Speaker 2: Yeah, global stock markets were a bit nervous last week

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Speaker 2: and then they wobbled, and you know, tech and the

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Speaker 2: AI stocks they were leading the declines. And it was

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Speaker 2: a little bit odd to me. You wouldn't think that

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Speaker 2: AI companies are the most impacted by you know, a

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Speaker 2: US government shut down. It would be other sectors. But

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Speaker 2: you know, sometimes the market does sort of tend to

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Speaker 2: find the narrative that that suits the move. But I

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Speaker 2: would just say it was a general risk off move

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Speaker 2: last week, and you know that's reversed abo this week.

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Speaker 2: And you know gold that was up strongly again this

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Speaker 2: is seen as now a risk on play by markets

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Speaker 2: sort of like bitcoin or or you know, some of

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Speaker 2: the racier text. But there are still a few concerns

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Speaker 2: out there, you know, you know, some of those AI

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Speaker 2: companies have really high valuations. And then some of the

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Speaker 2: data out of the US has been a bit mixed.

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Speaker 2: It has been second tier data. But now with the

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Speaker 2: shutdown ending, we should get some of that high quality

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Speaker 2: US data. We can see how the economy is tracking

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Speaker 2: there and into the rest of the year.

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Speaker 1: And is it normally the case that the performance of

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Speaker 1: markets is strong after a shutdown ending.

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Speaker 2: Yeah, this is quite interesting. So you know, historical data,

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Speaker 2: it showed that, you know, we've had forty years of

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Speaker 2: US government shutdowns and since the been ending, and the

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Speaker 2: SMP five hundred is usually up on average two and

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Speaker 2: a half percent after one month of a shutdown ending,

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Speaker 2: and then after three months it's up over five percent.

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Speaker 2: So you know, reasonably good historical basis there. And then

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Speaker 2: you know, it could imply that the centarelly is back

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Speaker 2: on heading into the end of this year.

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Speaker 1: Good stuff. Hey, thanks very much, Jeremy, appreciate it. Jeremy

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Speaker 1: hatton Milford Asset Management For more from Heather Duplessy Allen Drive.

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