20 October 2025 | Weekly Snapshot

Saward Dawson > Wealth Advisory Insights > Weekly Snapshot > 20 October 2025

Did you know?

Over the last couple of months there has been a lot of hot money flowing into the gold space. This is shown by the below chart, which measures flow of investor funds into Gold (blue line), which has risen significantly since August-25. Investor fund flows can be seen as ‘hot money’ because it can go as quickly as it came, which in turn can create a lot of price volatility.

Market Movements

The ASX market rose 1.2% last week, led by resources (up 3.6%). Gold stocks were a standout again with both Newmont and Northern Star higher by 12.8% and 7% respectively. Behind this move was another stronger week for gold (up 2%) which is now higher by 59% since the start of January. Energy stocks were lower by 1.7% with oil also lower by 3% for the week. Inflation expectations also fell with the 10yr breakeven inflation rate in Australia moving lower to 2.13%. Bond markets responded with falling yields, which was bad news for insurance companies (QBE down 9.6%, IAG down 7.1%), who’s earnings are closely linked to interest payments from their large fixed income portfolios.

Overseas, the US market was basically flat last week. Communication services (up 1.8%) and Staples (up 3.5%) were the strongest sectors, whilst Financials (down 1.1%) and energy (down 0.5%) were the weakest. No progress on the US government shutdown, although Trump has championed the cancelling of many unnecessary roles during the closure. Q3 earnings season is underway for the S&P500. The market is factoring 7.9% earnings growth on the same time last year. 12% of companies have reported to date and 86% of those companies have surprised to the upside.

Australian employment posted a 14.9K jobs gain in September, below the 20.0K expected but the main surprise came from a rise in the unemployment rate to 4.5% from 4.2% last month and the highest since late 2021. This was largely driven by record immigration and a rising participating rate. Our ASX 200 hit an all-time high with rising rate cut expectations.

Portfolio Movements

Broadcom shares higher as OpenAI strategic collaboration announced

Broadcom and OpenAI announced a new collaboration for 10 gigawatts of custom AI accelerators. OpenAI will design the accelerators, systems, and racks, which will be developed and deployed in partnership with Broadcom.
The racks designed by Open AI will be scaled entirely with Ethernet and other connectivity solutions from Broadcom will meet surging global demand for AI. Broadcom and OpenAI have long-standing agreements on the co-development and supply of the AI accelerators.
Broadcom will deploy racks of AI accelerator and network systems targeted to start in H2 of 2026, to complete by end of 2029.

Macquarie sells data centre stake – Shares rise

Macquarie shares were higher after the Macquarie Asset Management (MAM) division agreed to sell their 50% stake Aligned Data Centres business to a consortium of investors comprising the AI Infrastructure Partnership, MGX, and BlackRock’s Global Infrastructure Partners, in a deal with an implied enterprise value of around $40 billion.
Director Ben Way said this is a strategic exit that does not call into question the sector’s appeal and they have plenty of other Data Centre assets in their funds.
The sale price looks above market expectations and will likely drive a decent increase in fund performance fees for the group.

LVMH (Louis Vuitton Moet Hennessy) reports better than expected Q3 – Shares higher

LVMH, reported a better-than-expected Q3 with Q3 revenue of €18.28B ahead of the €18.14B estimate.
LVMH is a recent addition to the equities portfolio and leading global luxury retailer, who operate through multiple divisions including Wines & Spirits, Fashion & Leather Goods, Perfumes & Cosmetics, Watches & Jewellery and Selective Retailing divisions.
Q3 saw an improvement across all business groups and all regions except for Europe, where revenue from tourist spending declined.
LVMH said it will draw on its powerful brands and the talent of its teams to reinforce its global leadership position in luxury goods once again in 2025.

The Week Ahead

Monday 20 October: China GDP YoY (3Q) 4.7% (prior 5.2%), Retail Sales YoY (Sep) 3.0% (prior 3.4%), Industrial Production YoY (Sep) 5.0% (prior 5.2%).
Wednesday 22 October: United Kingdom CPI MoM (Sep)0.2% (prior 0.3%), CPI YoY (Sep) 3.7% (prior 3.6%).
Thursday 23 October: USA Initial Jobless Claims (Oct 18) 226k (–no prior data due to US Govt Shutdown–).
Friday 24 October: USA Existing Home Sales (Sep) 4.06m (prior 4.0m), CPI MoM (Sep) 0.4% (prior 0.4%), CPI YoY (Sep) 3.1% (prior 2.9%),
Saturday 25 October: USA New Home Sales (Sep) 707k (prior 800k), University of Michigan Sentiment (Oct F) 55.0 (prior 55).

More Weekly Snapshots

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.