The ASX share market is entering an interesting time as we approach the reporting season, where investors will get insights into how companies have performed amidst talks of interest rates and inflation πŸ“ˆπŸ“‰. With the relative strength of the economy, some businesses have been reporting solid results, such as Nick Scali Limited, which reported a 70% increase in net profit and grew the dividend by 14% πŸš€.

However, the market will be closely watching how companies perform during this period of expected economic deterioration due to rising interest rates. Andrew Tang from Morgans believes that some Aussie retailers will defy expectations of an imminent slowdown and continue to show strong results πŸ’ͺπŸ›οΈ.

Despite this, the outlook for ASX dividends remains uncertain. Tang suggests that many corporates may be cautious about paying out dividends, given the concerns around the mortgage cliff and the general fear surrounding the economy’s outlook πŸ πŸ“‰.

As we move through the ASX reporting season, investors should keep an eye on the outlook statements, which could be the most influential factor for various sectors in the coming months πŸŒπŸ”.

Stay tuned for more updates on the ASX reporting season and how it may impact your investments! πŸ’ΌπŸŒŸ

Source: https://www.fool.com.au/2023/02/06/could-your-dividends-be-at-risk-this-asx-reporting-season/

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