Weekly Market Update (21 Nov 2025): US , NZ & Australia - What KiwiSaver Investors Should Know
US Market: A wobbly week
Markets in the US endured a rough patch this week, driven largely by investor concerns around the valuations of big-tech stocks and mixed signals from the Federal Reserve (Fed).
The benchmark S&P 500 dropped about 1.6% in one session as technology shares faded after a strong start.
The tech-heavy Nasdaq Composite also pulled back 2.2% as sentiment shifted.
One key factor: worries that the AI-driven run in tech might be losing steam, and the Fed may need to keep rates higher for longer than hoped.
KiwiSaver Insight:
US equities, especially tech, tend to be a meaningful part of many growth-oriented KiwiSaver funds. Weeks like this show how normal short-term swings are in global markets. The key takeaway for members is that volatility is expected, and these movements are already factored into long-term KiwiSaver strategies.
New Zealand Market: Stability with caution
Back home, the S&P/NZX 50 index showed a modest rise of about 0.8% to around 13,439 points.
Here are some notes:
The NZ market is modestly up over the last year (5.3%) but recent momentum is restrained.
Valuation signals suggest the market is trading at roughly 19-20 times earnings in aggregate.
Locally, investor sentiment remains cautious given weak import/trade data and slower population growth noted in recent commentary.
KiwiSaver Insight:
Most KiwiSaver funds maintain some allocation to NZ equities for diversification and market familiarity. A relatively steady week like this highlights how different markets can behave at the same time. For KiwiSaver members, it’s a reminder that your fund’s mix spreads risk across regions - not all markets move together.
Australia Market: A tougher week
The S&P/ASX 200 in Australia slipped significantly this week - roughly a 2.5% decline on the week.
Key themes:
Weakness across major sectors, especially financials and resources.
Escalating global uncertainties (e.g., tech slowdown, global growth risk) weighing on sentiment.
The Aussie market’s reliance on resources and banks means shifts in global growth expectations hit hard.
KiwiSaver Insight:
Australia is a common component of KiwiSaver investment strategies due to economic links with NZ. The week’s performance shows how global themes, like shifts in growth expectations can influence our closest neighbour. In a KiwiSaver context, this is simply part of the regular market cycle reflected in unit prices.
What it all means for KiwiSaver Investors
Stay long term. These weekly swings are normal. Markets move in fits and starts; for long-horizon savers the weekly noise is less important than the multi-year trend.
Diversification is working. With US tech under pressure, local and regional markets offering different dynamics, having a spread of exposures (geographies, sectors) helps.
Re-check your risk profile. If you’re invested heavily in US tech or home-market NZ equities, and you’d feel uneasy seeing a 10-20% drop, it might be time to rebalance.
Costs and tax speak quietly. For KiwiSaver, fees, asset allocation, choice of fund manager all matter. Market timing doesn’t. Staying in the plan matters more than trying to “get out” of a week like this.
Quick Recap
US: Down modestly amid tech & rate worries.
NZ: Slight lift, but modest growth and valuations at a level to watch.
Australia: Weaker week, sensitive to global headwinds.
For KiwiSaver: Keep perspective, diversify, stay aligned with your long-term goal.
Disclaimer: This update is provided for general informational purposes only and does not constitute financial advice. Always consider your personal financial situation, investment objectives and seek professional advice if needed before making investment decisions.