11 August 2025 | Weekly Snapshot
Saward Dawson > Wealth Advisory Insights > Weekly Snapshot > 11 August 2025
Did you know?
The below chart shows the world’s most powerful compute clusters. The size of the bubbles represents compute size (measured on a relative basis in terms of Nvidia’s H100 processing units). The bubbles are colour-coded by country. Two takeaways – US is building out capacity at a far greater pace than other regions (no surprise there). Second takeaway, did you know that Elon Musks’ X-AI (formerly Twitter) will have the largest compute cluster?
Market Movements
The ASX was stronger by 1.7% last week, led by consumer discretionary stocks (up 3.9%) and resources (up 3.7%). Gold miner Northern Star was up 11.9%, supported by a modest rebound in the gold price (up 1.9%). We observed broad sector gains, with only more defensive sectors such as healthcare (down 1.1%) and consumer staples (down 0.4%) trading lower.
Overseas in the USA, the S&P500 was higher by 0.9%, led by the Nasdaq tech index (up 1.9%). AI-leader Palantir continues to lead the market and is now up 147% for the year. Similar to Australia, there was broad sector strength, with only utilities trading lower (down 0.9%). Overall, this shows that the market is embracing a positive economic outlook and stable/lower inflation.
After strong gains in the US market, valuations are at or above high levels on a long-term basis. For example, in the below chart, valuations for the S&P500 are at 22-times earnings, a level which by historic statistics, should only happen once every 20 years. This poses a question to investors – will prices (and valuations) mean-revert back to normal or are we in a new paradigm?
Portfolio Movements
Uber Technologies reports strong Q2 results
- Uber Technologies reported a solid Q2 with EPS of $0.63, in line with expectations. Q2 revenue of $12.65B up 18% yoy, ahead of $12.47B expected.
- Trips during the quarter grew 18% yoy to 3.3 billion, driven by Monthly Active Platform Consumers (“MAPCs”) growth of 15% yoy and monthly Trips per MAPC growth of 2% yoy. A new share repurchase program was authorized up to an additional $20 billion.
- “Our platform strategy is working, with record audience, frequency, and profitability across Mobility and Delivery,” said Dara Khosrowshahi, CEO. “But we’re still only beginning to unlock the platform’s full potential, now with 20 autonomous partners around the world.”
ASX – Trade values surge – FY26 compliance costs to be higher
- Exchange operator ASX was in the headlines over a sloppy error that saw them attach a market release around a takeover to the wrong listed company.
- It overshadowed an otherwise strong July activity report with trade value up 20% year on year and trade volumes up over 30%.
- ASX expect to incur additional operating expenses of between $25 million and $35 million in FY26 related to the ASIC compliance assessment and inquiry over the failed settlement issue late last year.
Sony reports strong Q1 results
- Global media and tech conglomerate, Sony, reported Q1 net income attributable of ¥259.03B (USD 1.7B), well ahead of the ¥216.13B expected. Their Game & Network Services segment revenue up 8.3% y/y to ¥936.53B and was a standout and well ahead of the ¥893.23B, expected.
- Sony did see a tariff impact of 70 billion yen, but much less than the 100 billion yen forecast in May.
- FY Guidance (Mar 2026) was also upgraded to net income attributable of ¥970.00B from ¥930.00B previously.
The Week Ahead
- Tuesday 12 August: USA CPI MoM (Jul) 0.2% (prior 0.3%), CPI YoY (Jul) 2.8% (prior 2.7%), CPI Ex Food & Energy (Jul) MoM 0.3% (prior 0.2%), CPI Ex Food & Energy (Jul) YoY 3.0% (prior 2.9%). Australia RBA Cash Rate Target 3.60% (current 3.85%).
- Wednesday 13 August: No Data.
- Thursday 14 August: USA Initial Jobless Claims (Aug 9) 225k (prior 226k), PPI Final Demand (Jul) 0.2% (prior 0.0%). Australia Employment Change (Jul) 25.0k (prior 2.0k), Unemployment Rate (Jul) 4.2% (prior 4.3%). United Kingdom GDP QoQ (2Q P) 0.1% (prior 0.7%), GDP YoY (2Q P) 1.0% (prior 1.3%).
- Friday 15 August: USA Retail Sales Advance MoM (Jul) 0.5% (prior 0.6%), Industrial Production MoM (Jul) 0.0% (prior 0.3%), Empire Manufacturing (Aug) 0.0% (prior 5.5%). China Retail Sales YoY (Jul) 4.6% (prior 4.8%), Industrial Production YoY (Jul) 6.0% (prior 6.8%)
Saward Dawson Wealth Advisors Pty Ltd, a Corporate Authorised Representative of Akambo Pty Ltd t/a Accountants Private Advice
The information presented in this publication is general information only, and is not intended to be financial product advice. It has not been prepared taking into account your investment objectives, financial situation or needs, and should not be used as the basis for making an investment decision. Before making any investment decision you need to consider (with your financial adviser) your particular investment needs, objectives and financial circumstances.
Some numerical figures in this publication have been subject to rounding adjustments. Akambo Pty Ltd (including any of its directors, officers or employees) will not accept liability for any loss or damage as a result of any reliance on this information. The market commentary reflect Akambo Pty Ltd’s views and beliefs at the time of preparation, which are subject to change without notice.
