Markets start 2013 with a roar
Thursday 31 Jan 2013 8:49 a.m.
By 3 News online staff
The NZX50 has continued to rise this year, after enjoying its best year in more than a decade in 2012.
Its continued strength has surprised many, considering what lay ahead.
"It's crazy what a difference four weeks makes," ASB Securities' Andrew Kelleher told Firstline this morning.
"Before Christmas we were all sitting around worrying about the fiscal cliff… and how here we are, four weeks later, one month into 2013, and there's a decidedly different tone to the way people are talking about markets."
He says last year was a great year to invest in the market – New Zealand's was up 24 percent, Australia's 15 percent – and this year could be even better.
"There's confidence, conviction and commitment. People have come in to 2013 more confident that what we call the tail risks, the black swan events, those things that you thought never might happen, well there's more confidence now that they won't."
He says there's less chance now Greece will exit the euro and China will go into recession, which is driving that confidence.