Australian Shares

3

Trading Day: has the selling stopped?

The S&P/ASX 200 is up almost 1% or 42 points to 4707 this afternoon. Asian markets are up strongly, with the Nikkei up 1.5%, the Hang Seng up 0.9% and Singapore up 0.32%. All risk assets are up, with the AUD just above 1.07 against the USD, whilst gold is at $1538 USD an ounce.

21

Profiting from debt

Much news and analysis has been made regarding the level of public debt around the world, particularly in the so-called PIIGS (Portugal, Ireland, Italy, Greece, Spain) European nations, although the US and the UK are in similar shape quantitatively. More than enough news has been made regarding Australia’s public debt, which is paltry in comparison,

0

Trading Day: Monday

The S&P/ASX 200 is down 22 points to 4662 just before midday. Asian markets are down mainly, with the Nikkei down 0.32%, the Hang Seng steady and Singapore up 0.14%. Most risk assets are up, with the AUD just below 1.07 against the USD, whilst gold is up to $1537 USD an ounce. WTI crude

20

Cash is king

The  global financial crisis was in my view the first symptom of what is a reckless attack on money itself. An attack undertaken by the supposed uber-capitalists, Ayn Rand disciples. It is thus especially dangerous because it is unintentional — the worst of all “unintended consequences”, as it were. The lingering sign of this attack

0

Trading Day: 27th May

The S&P/ASX 200 is up 25 points to 4684 just after midday, continuing to claw back some of this weeks losses. Asian markets are mixed however, with the Nikkei down 0.24%, the Hang Seng up 0.76% and Singapore also up 0.71%. Other risk assets are up too, with the AUD above 1.07 against the USD,

3

Equities Spotlight: Fleetwood

As we see in H&H’s article on the latest ABS Private Capital Expenditure, Australia appears to be marching towards the mining boom mk 2, spades in hand and singing “hi ho, hi ho”.  In light of the coming boom, we’re going to take quick look at a company that may tap into the rivers of boom

0

Trading Day – Thursday 26th May

The S&P/ASX 200 is up 36 points or 0.78% to 4626 points just after midday, reversing some of this weeks losses. Asian markets are up, the Nikkei 1.2%, the Hang Seng up slightly at 0.37% and Singapore steady. The AUD is above 1.05 against the USD, whilst gold continues to rise at $1529 USD an

2

Equity Spotlight: Graincorp

Profit Increase and Upgrade Graincorp (ASX Code: GNC) has posted an increase in FY11 net profit of 66%, in addition to lifting FY profit guidance to $145 to $165 million, a $30 million increase from previous guidance which put the figure between $115 and $135 million. The main reason behind the increased result was a

4

Trading Day: Dead cat falling

The S&P/ASX 200 is down 30 points or 0.65% at midday, continuing the broad correction since mid-April. Asian markets are down, the Nikkei 0.36%, the Hang Seng down 0.58% and Singapore 0.3%, following the US market drop overnight. The AUD is dicing with 1.05 against the USD, whilst gold is rising at $1524 USD an

5

Investing in Grains

Most commentators and analysts focus on the hard commodity story for Australia: iron ore, coking coal and metals like copper and aluminium. International pricing forces, driven by demand in China and India and exarcebated by easy monetary policy across the developed and emerging world is having a similar affect on the so-called soft commodities driving

8

Shorting the banks

About a year ago, the major banks were concerned enough about hedge funds shorting their shares to investigate privately whether it was occurring. They concluded, at least publicly, that it was not. But as the wedging of Australian banks gets stronger — weakening housing on the one side, harder offshore borrowing conditions on the other

0

Trading Day: the correction continues

The S&P/ASX 200 is down 22 points or 0.5% at midday, continuing the broad correction since mid-April. Asian markets are mixed, with the Nikkei down 0.1%, the Hang Seng down 0.2 and Singapore steady, on the back of news that Goldman Sachs has downgraded Chinese GDP growth. The AUD is back above 1.05 after dipping

6

Brokers Fortesmiscue

Fortescue Metals has done something very difficult, even laudable (although not always in the most laudable fashion). It has successfully challenged the iron ore cartel in Australia of BHP and Rio. That may make it good for competition in the sector, but does it make it a good investment? It is certainly down from some

13

Correlated risk is off

Stock markets around the world are either in full flight correction (Australia) beginning, or wobbling along. Yesterday we had the Asian stock markets, with the ASX200 down 1.88%, Japan (Nikkei 225) down 1.52%, Hong Kong (Hang Seng) over 2.11% and Singapore 1.83%. This action was continued through to Europe, with the German DAX down 2%,

1

Trading Day – Monday

The S&P/ASX 200 is down over 80 points or 1.5% at midday, reversing all of last week’s gains. Fear is gripping the Asian markets as well, with the Nikkei down 1.3%, the Hang Seng down 1.55% and Singapore over 1%. The AUD is down below 1.06 at 1.0585 against the USD, whilst gold is above

4

The Twilight Zone

It is not just the MSM (which I assume stands for the Mainstream Meeja), that has rushed to see the good side of the downgrade of the banks. Brokers are acting as apologists, too. Which is to be expected considering how large the banking sector is as a proportion of the All Ords. If about

0

Trading Day – 20th May

The S&P/ASX 200 is down 22 points or 0.4% at midday, pausing from its rebound rally since Tuesday, mainly from weakness in BHP, RIO and bank stocks (i.e most of the index). Asian markets are up generally, with the Nikkei up 0.3%, the Hang Seng up 0.2% and Singapore steady. The AUD is steady at

1

Trading Day 19th May – risk back on?

The S&P/ASX 200 is up almost 60 points or 1.3% at midday, clawing back some of the losses of the near month long correction. Asian markets however are mixed on the back of the Japanese GDP shrinking, with the Nikkei down slightly, the Hang Seng up 0.4% and Singapore up 0.5%. The AUD is up

0

Dollar the destroyer

The full impact of Dutch disease is being tracked by analysts mainly by their looking at the effect of the higher $A on earnings. Deutsche Bank has issued a currency review that tells a mixed tale. Wesfarmers, Sims, Bluescope, OneSteel, CSR, the materials sector, the gaming industry are all “negatively impacted”. Companies with significant off shore

22

Equities Spotlight: BHP

This is the first of a regular equities analysis post we’ll be introducing to MacroBusiness.  In the posts we’ll be taking a single company and analysing its business and financials from the perspective of a fundamental/value investor.   In a continuation of this week’s earlier post on BHP and the AUD, today we  look at BHP Billiton. The Business BHP

3

Fund managers rotate

  There are growing signs of pessimism amongst fund managers globally, a point that has already been well covered on MacroBusiness. How is this affecting trading strategies and asset allocations? Merrill Lynch’s May fund managers survey sheds some light. It says that investors are questionnig global growth prospects. Only 10% expect stronger global growth in

0

Trading Day – 18th May

The S&P/ASX 200 is up over 20 points at midday, slowing down amidst a correction that began in early April (down over 7% or 250 points). Asian markets are all up, the Nikkei 0.6%, the Hang Seng 0.29% and Singapore steady. The AUD is up slightly to 1.0609 against the USD, whilst gold is falling

28

Radioactive Paladin

  If there is a one way bet in the world economy, it is energy. Each year, China adds the equivalent of Britain’s entire annual energy supply and there is little sign of this slowing. So uranium should, as they say, be “part of the mix”. Which should mean that Paladin remains a nice little

2

Trading Day – 17th May

The S&P/ASX 200 is steady this afternoon, pausing in the second leg of a correction that began in early April (down over 7% or 300 points). Asian markets are also down, the Nikkei down 0.44%, the Hang Seng 0.45% and Singapore 0.86%. The AUD is up slightly to 1.0562 against the USD, whilst gold is

17

Bears come out to play

Brokers have caught on. They must be reading MacroBusines. Much of the Australian economy is not in good health, Dutch disease is fast becoming Australian disease, and earnings forecasts in many sectors may be pretty dodgy. As more bearish sentiment starts to grip the market, the question it raises is: is it time to buy

1

Trading Day – 16th May

The S&P/ASX 200 is down over 1% this afternoon, continuing the second leg of a correction that began in early April (down over 7%). Asian markets are also down, with the Nikkei down 0.6%, the Hang Seng 1% and Singapore 0.7%. The AUD is down to 1.05 against the USD, and 85 against the Yen

9

BHP and the buck

As most of us will have heard, we’re a blessed country entering a second mining boom that is starting up after the first one was doused by the GFC in 2007.  This second boom will be longer and stronger than all before it, improving our terms of trade beyond anything this sunburnt country has experienced

1

Trading Day – Friday the 13th

The S&P/ASX 200 is down slightly this afternoon, with some intra-day buying support similar to US markets recovery last night. Asian markets are down, with the Nikkei down 0.25%, the Hang Seng 0.4% but Singapore up over 0.46%. The AUD is back to 1.06 against the USD, and 86 against the Yen (which is highly

1

Trading Day – 12th May

The S&P/ASX 200 is down over 1.4% this afternoon, after digesting the slump in commodity prices and US/Euro markets overnight. Asian markets are all down, with the Nikkei down 0.8%, the Hang Seng almost 1% and Singapore just over 0.6%. The AUD has slumped to just above 1.06 against the USD, with a midday update

12

Grantham calls the top

For those of you with a memory longer than a few days, it was Jeremy Grantham of GMO who famously called the bottom in the great GFC equity rout. Whilst I never put anyone on a pedestal, Granthan is one of the few equity strategists that sees the way markets actually work these days. Overnight