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SPI up 50 but suspect it won’t be as good as that…commodities down a bit so back to the usual suspects to drive us higher!!Go Banks etc..CPI later today ..expect Asian markets to bounce after big Dow rise!
What a difference a dividend makes! Woodside announce a 67 cent special div and the stock rallies 10%.Are you listening boards of resource stocks around the World. Shareholders like sharing in the success of the projects not having the profits ploughed into more projects that end which inevitably go wrong. It’s a law of averages thing. Of course the problem for the country and the mining services stocks is that if resource companies abandoned their expansions all together and just paid shareholders divs and cash back then it would affect jobs and growth down the track but what Woodside has done will set the cat amongst the Pigeons.
Overseas the markets were very firm despite a ‘tweet’ that the White House had been bombed and Obama was injured. This set off the computers which pushed the market down 150 points in seconds..are we really trusting our markets to these programs???This week it was announced that the Bloomberg will be picking up tweets to announce company results and reports. Seems that hacking Associated Press account is pretty easy and then all hell breaks loose..Imagine if they sent a message that Korea had launched an attack or something really serious. Anyone remember a film called ‘War Games’…I do but maybe I am showing my age….but these Algos trading off twitter feeds are dangerous…its twitter for gods sake..the name says it all.
Idea of the Day
Boring stocks are the way to go…Banks,TLS,the WWW’s,(WES,WOW and WDC) still ..nibble at BHP perhaps and Industrials like GEM ,CRZ are on my list too as is MOC…
Things to make me go all Algo……
1.PXS has come out this morning and said its drug Bronchitol is pretty useless…not good and a terrible call from our research department…have now stopped listening to analysts…I once described analysts as Nuclear Weapons..scary in the wrong hands, very expensive, shouldn’t be used as they cause mass destruction and only have them because the other side has them otherwise why bother!!
2. Another ten days extension for BBG bid..come on guys this is killing whatever is left of the company!!! Must be so distracting..good ploy from the bidders though..if they extend long enough they will buy it off the creditors!
3. In the true tradition of Zombieland..if it gets really serious lie!!!Evolution Mining has disappointed the market on production and costs for the (third) March quarter but has vowed to finish off the June year with a flourish, enabling it to stick to previous guidance that annual output would weigh in at 370,000-410,000 ounces of gold.Few other Gold stocks are in the same basket..too costly to produce something they seem to have no control over the pricing of!!
4. In Intrepid Mines ,private equity investment fund Quantum Pacific has moved on embattled company Intrepid Mines, seeking to overhaul the board and take control in a bid to secure a direct interest in its controversial Indonesian project. The investment firm yesterday revealed it was leading a group of concerned shareholders who had requisitioned a meeting to remove five of Intrepid’s seven board members.
5.US Mint has run out of the smallest Gold coin it produces….physical gold demand running hot around the World..ETFs though driving the marlet down with redemptions..gotta love derivatives…
6.Apple came out with its results and they were below forecasts but has said that it is going to return $55bn in cash to shareholders just as soon as it finds which tax haven it has stashed it…It has $145bn in cash but it is borrowing money to pay its dividend and conduct its buyback program…that’s cos they don’t want to pay tax in the US when they bring the money home!!!Stock rallied 3% ish!
7.CPI number today!..Expect it to be benign and the RBA rate cut talk to grow louder! Expect 0.7 in this quarter and 2.8% for the year!!
8.Tom Waterhouse has stated that not only is he an expert on everything but he is now the saviour of Free to Air TV…such a talented bloke…
9.Despite bad German numbers and bad Chinese PMI economic numbers, the Dow powers on squeezing the shorts badly!!
10. Goldman Sachs Group cut its “near-term” outlook for commodities and reduced forecasts for oil and coffee amid prospects for weak demand from China to Europe. The bank also exited a bet on lower gold prices….and this shows their power.. Goldman Sachs issued a sell recommendation on gold on April 10, before the precious metal plunged 13 percent in the two sessions through April 15, the biggest drop in three decades…it has now cancelled its sell recommendation as it is below its 1450 target
11. Few fun facts on the US
-Suicide has now actually surpassed car accidents as the number one cause of “injury death” in the United States.
-More U.S. soldiers killed themselves than were killed in combat last year.
– Americans will spend more than 280 billion dollars on prescription drugs during 2013.
-Nearly one out of every four women in the United States are taking antidepressants.
-The percentage of women taking antidepressants in the U.S. is higher than in any other country in the world.
-In 2010, the average teen in the U.S. was taking 1.2 central nervous system drugs. Those are the kinds of drugs which treat conditions such as ADHD and depression.
-Children in the United States are three times more likely to be prescribed antidepressants as children in Europe are.
And finally from my beautiful wife…..
A woman’s husband dies. He had $20,000 to his name.
After everything is done at the funeral home and cemetery, she tells her closest friend that there is no money left.
The friend says, “How can that be? You told me he had $20,000 a few days before he died. How could you be broke?”
The widow says, “Well, the funeral cost me $6,500. And of course, I had to make the obligatory donation for the church and the organist and all. That was $500 and I spent another $500 for the wake, food and drinks, you know. The rest went for the memorial stone.”
The friend says, “$12,500 for the memorial stone? My God, how big was it?”
The widow says, “Three carats.”
Have a great day..no note on Friday as I am trekking in the Snowy Mountains!! Andrew is here to help..don’t bother with my mobile I am on Vodafone
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