I joined Paul Turton on ABC Newcastle Mornings to discuss the recent volatility in global markets, driven by U.S. tariffs, political uncertainty and rapid developments in artificial intelligence (AI). I explained that because the U.S. represents around 30 to 40 per cent of global market capitalisation, what happens there inevitably affects Australia, and heightened uncertainty is making investors less willing to pay elevated valuations. We also discussed how there are more efficient AI models emerging from China and how this could challenge the heavy data centre investment that is underway in the U.S. 

Being reporting season, we also discussed one standout, CBA who reported a $5.5 billion half-year profit which suggested that despite high interest rates, credit quality has been good. 

You can listen to the full segment from 31:27 here: ABC Newcastle Mornings

Disclaimer: 
The Montgomery Fund and the Australian Eagle Equities Fund owns shares in Commonwealth Bank of Australia. This article was prepared 24 February 2026 with the information we have today, and our view may change. It does not constitute formal advice or professional investment advice. If you wish to trade Commonwealth Bank of Australia, you should seek financial advice.