Investment update - November 2025
read
Published on 19 Dec 2025In November, global conditions were influenced by a bold move from the Trump administration’s strategy of purchasing ownership shares in private companies considered essential to national security. The focus remains on semiconductor chips, minerals and steel, with more than US$10 billion in taxpayer funds has already been committed as the US aims to reduce strategic dependence on foreign suppliers, especially China.In the US, unemployment rate increased to 4.4% in September while non-farm payrolls increased by 119,000. However, with limited data available due to the government shutdown, the Federal Reserve must rely on earlier figures to guide its December meeting, while markets increasingly pricing in a potential rate cut, reflecting signs of moderating inflation and a cooling labour market.
In Australia, both manufacturing and services sectors activity expanded, with stronger new business inflows supporting improvement. GDP grew 2.1% in Q3, the fastest annual rate in more than two years, driven by private investment, including data centres and artificial intelligence alongside household spending. Inflation climbed to 3.8% in October, keeping it above the Reserve Bank of Australia’s target of 2%-3% range and reducing the likelihood of near-term rate cuts.
Across Europe, Eurozone inflation rose to 2.2% in November with unemployment steady at 6.4% in October. In Japan, inflation edged up to 3.0% in October and unemployment held at 2.6% in October, amid speculation that the Bank of Japan may pivot toward tightening policy. In China, the official NBS Manufacturing PMI rose to 49.2 in November but continued to signal contraction for the eighth consecutive month, highlighting persistent weakness in domestic demand and cautious export sentiment.