While stock markets are performing strongly, particularly in Australia, there continues to be troublesome economic news coming from Europe. German business confidence has slipped to its lowest levels for six years. The UK continues to be a mess with uncertainty about what is happening with Brexit. Mario Draghi is hinting that stimulus could be on the menu in September with talk of renewed quantitative easing. Interest rates are being talked down, worldwide.

Maybe these themes are supportive of stronger equities in the short term but what happens once the adjustments take place? What will drive the markets higher if there is no subsequent sustainable growth? While brokers are telling us that we are in a new bull market for gold, and yes, the gold price has been strong, the stars are not yet aligned sufficiently to be suggesting anything more than the gold price has moved into a new, higher trading range; US$1,380-US$1,450/oz. Still, no-one should be complaining.