At one point, back in 2022, the market cap of U.S. technology giant Meta (formerly Facebook) dropped as low as US$230 billion. The company and its investors had lost US$800 billion in market capitalisation in just one year, and the shares were down 75 per cent from their previous all-time high.

While the detailed reasons for the company’s significant decline are debatable – the broader market and its peers also fell significantly – the official reasons seem to be that the company experienced slowing growth in its daily active users and rising competition from TikTok.

This article was first published in The Australian on 16 July 2025. Continue…

by Roger Montgomery Posted in In the Press.

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Yesterday I joined Jess Maguire on ABC Statewide Drive to discuss why markets are defying expectations and soaring to new highs despite escalating global tensions, war, and looming U.S. tariffs.

I explained that while investors typically flee from uncertainty, many are instead focused on the potential benefits of select Trump policies and the artificial intelligence (AI) boom, creating a surge in optimism. Continue…

by Roger Montgomery Posted in Radio.

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Financial markets are acting like a friend who says one thing but does another. Investors are sending conflicting messages about the economy, interest rates, and what’s coming next.

The mixed signals

Investors are betting that the Federal Reserve will cut interest rates by up to two per cent over this easing cycle. Trump of course, always the glutton, wants even more. That’s a big deal – rate cuts of this size usually happen when the economy is in trouble or heading into a recession. Lower rates make borrowing cheaper, encouraging spending and investment to boost a slowing economy. Continue…

by Roger Montgomery Posted in Market commentary.

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This morning on Ausbiz with Juliette Saly, we unpacked the confusing signals coming from global markets. Despite geopolitical turmoil, rising inflation expectations, and forecasts of rate cuts – which usually signal economic weakness – equity markets are hitting all-time highs, credit spreads remain narrow, and liquidity appears abundant. Continue…

by Roger Montgomery Posted in TV Appearances.

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This week I explored the growing warning signs lurking beneath the market’s strong performance. From ballooning U.S. fiscal deficits and overexposure to a handful of mega-cap tech stocks, to sky-high artificial intelligence (AI) valuations that echo the dot-com era – there are clear signals that caution is warranted.

While the current market resilience is impressive, now is the time to focus on quality stocks and diversifying your portfolio. Exploring alternative asset classes like private credit – which remains uncorrelated to public markets – could help investors navigate what comes next.

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by Roger Montgomery Posted in Video Insights.

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I joined Paul Turton this morning to unpack why markets are climbing despite geopolitical tensions and economic headwinds. Wall Street is edging toward record highs, encouraged by shifting perceptions of Trump’s policy agenda, including tax exemptions for U.S. tech giants. Surprisingly, markets have remained resilient amid high tariffs, Middle Eastern conflicts, and military tensions in Europe. Continue…

by Roger Montgomery Posted in Radio.

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In my latest article for Nabtrade, I explore why markets continue to climb despite ongoing global uncertainty.

Momentum in sectors like artificial intelligence (AI) and expectations of policy support are helping to overshadow global uncertainty. However, elevated valuations and Trump’s unpredictability suggest a degree of caution would still be wise for investors. Continue…

by Roger Montgomery Posted in On the Internet.

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In this week’s video insight, I unpack the leaked Treasury report warning the Albanese Government that Australia’s budget cannot be sustainably repaired without both raising taxes and cutting spending. The report also casts doubt on the government’s ambitious housing targets, with rising construction costs and surging demand making them increasingly unrealistic. Political support for a ‘Big Australia’ is compounding the strain on housing supply and intensifying the cost of living crisis. Continue…

by David Buckland Posted in Video Insights.

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