Morning all,

 

‘Get  back in there and buy Mortimer’(Trading Places).And they sure did. Better housing numbers and a whiff of a settlement of the fiscal cliff was enough to send the Dow skyrocketing. It had it’s best day since September 6^th albeit on low Thanksgiving week volume.’Zombieland’ also caught the bug and put on some impressive gains..Now the big question is Dead Cat Bounce or something real….we shall see but suspect that the bounce will run out of puff before Thanksgiving on Thursday.

 

Until then though lets go with it…green is my favourite colour anyway.. Gold better and Copper doing well too so expect some good buying in risk assets today although enthusiasm will be muted …as Pete Townsend once wrote..”we won’t get fooled again!”

 

Expect the market to rise 25-30 today at the opening…wilt, then push higher again this afternoon..defensives will be slightly less impressive and even TLS may ease a bit..but still be well bid.

 

My upside target on the market is 4430 before we roll over again and play dead!….BUT as I wrote in the PM report yesterday there are now so many Black Swan events out there that maybe the risk is not from the Black Swan but from the White one…all the news seems to be pointing to major events disrupting the confidence of markets..maybe there is some good news out there..economic news is still pointing better in the US..let’s get some action in Greece and maybe we can get Santa after all..fingers crossed..suspect 2013 will be a tougher year though!

 

I am sure I am not the only one who enjoyed watching Rudd go head to head with Turnbull last night on QandA….shame we can’t get these two guys back …but Rudd’s comment on the state of politics at the moment being a Punch and Judy show was right on the money!!!

 

And in breaking news the Big Bogans company Mulsanne resources has been put into liquidation..don’t you love it when these rich people don’t pay …sends such a great message!

Things to make me go all….

1.Greece gets told by the Troika to cut another 20,000 Public Servants..great way to try to stimulate economic growth..that may be the last straw for the Unions!!In more Zombie news France has been downgraded by Moodys to Aa1…..we will fight Moodys to the death..or just go and have another Gaulloise and a café au lait!

2Looks like the Aussie Dollar is heading towards Reserve Currency status…this will ensure the high dollar for some time to come…unfortunately for those that are already suffering,things are not going to get any better …

3.Kingsgate: plans to develop its Bowden silver deposit near Mudgee in NSW. It bought the deposit for $A75 million in 2011. The company has upgraded the resource by 40 percent to 51 million ounces of silver equivalent. It will cost between $A300 million and $A350 million to develop the project, with first production in late 2015 or early 2016.

4.Mesoblast: is considering approaching the corporate regulator to air its concerns about high frequency trading as its key partner, Teva, yesterday made a long-awaited public statement of support for their alliance. Speculation Teva may exit the stem-cell partnership between the two companies prompted a frenzy of trading last Thursday.

5.Qantas: The proposed QAN-Emirates alliance could be terminated if a group of former QAN executives and their financial backers purchase a stake and agitate for an alternative strategy. Under the terms of the 10-year agreement, either party can terminate the alliance should there be a material change in strategy or an “inconsistent investment” under which a third party secures control, a stake of more than 20 percent, or more than 10 percent and a board seat.

6.ELD: Elders managing director Malcolm Jackman has rejected suggestions the struggling rural services group has embarked on a fire sale as its auditors raise concerns about the value of its assets and its ability to continue as a going concern.

7.Amazingly Apple is worth more than Microsoft, IBM and Intel combined..good rally last night but feel this bounce will not last either…Apple up 7% to 565…

8.Miss Russia has caused a stir with her comments at a the Miss Earth pageant…tells it like it is!!!”My Russia is a beggar. My Russia cannot help her elderly and orphans. From it, bleeding, like from a sinking ship, engineers, doctors, teachers are fleeing, because they have nothing to live on. My Russia – it is an endless Caucasian war.”

9.DJs decides to go it alone on the online sale day advertised as the click frenzy….its staging its own Christmas frenzy!!Go DJs!

10.Should be an interesting meeting at LYC today as Chairman Nick Curtis will be made to pay for his comments at last years event!!Not yet  producing and raised $200m and a two year low…expect the salary cap may be an issue …

11.And in more ‘Zombieland news’…the company that makes the legendary Twinkie is facing bankruptcy …Hostess has been so badly run that it has been in constant battles with the Unions and now faces twinkie extinction!!On ebay boxes of the things have been changing hands at extraordinary prices!!!

And finally…..

An Illinois man  left the snow-filled streets of Chicago for a vacation in Florida. His wife was on a business trip and was planning to meet him there the next day. When he reached his hotel he decided to send his wife a quick email. Unfortunately, when typing her address, he missed one letter, and his note was directed instead to an elderly preacher’s wife whose husband had passed away only the day before. When the grieving widow checked her email, she took one look at the monitor, let out a piercing scream, and fell to the floor in a dead faint. At the sound, her family rushed into the room and saw this note on the screen:

 

Dearest Wife,
Just got checked in. Everything prepared for your arrival tomorrow. P.S. Sure is hot down here.

Have a good greenday

 

Clarence

XXXXX

 

Any financial product advice contained in this email is general financial product advice only and does not take into account any one person’s objectives, financial situation or needs. Therefore, before acting on any financial product advice in this email, you should consider, with or without the assistance of an independent adviser, the appropriateness of the advice, having regard to your objectives, financial situation and needs.