October defied gravity, and proved to be a good month for stockmarkets. Most posted their best monthly return in 4 or 6 years. Central Bank action (or inaction) largely drove direction. The Central Bank wrap is as follows:

• The BoJ (as expected) left policy unchanged, suggesting confidence in their economic recovery;
• Soft US economic data in October helped postpone a US rate hike, with the accompanying Federal Reserve statement giving investors confidence in the possibility of a December rate hike;
• Mario “whatever it takes” Draghi hinted at further stimulus from the European Central Bank in 2016 and 2017 – bolstering the region’s stocks;
• China pumped the accelerator with another rate cut; and
• Weak Australian inflation data increased the chance the RBA would cut rates at their November meeting.

Finally, the Wallabies played some gallant rugby, but were pipped in the final by our cross Tasman rivals (again!).