Morning all,

Foul is fair…looks like QE III is doing a pretty bad job as the US jobs number came in much weaker than expected…printing money stronger for ever! Anyway it was enough for the bulls who are gouging on the teat of free money to keep on going…records are falling faster than an earthquake hitting a Sony Music store and we look set to follow them ever higher.I have been an advocate of 5600 on the ASX 200…well it will hit 5400 today peeps! Yesterday’s BHP numbers were the platform for the next leg up. Miners have discovered cost control and squeezing their assets. That does sound painful and will bring tears to the eyes of their contractors but ensure the good times will roll for the well managed companies….wasn’t it ever so..the resource boom covered up a huge amount of waste and sins and these have come home to roost in the badly managed space…but good stocks like BDR are doing it better than most and look at their price action compared to say NCM!

Now we were talking in the office today about when is it right to get out as the free money asset bubble continues to inflate…well, the simple answer is most people haven’t even got in yet!!!!Really we are still doing $3bn a day in volume and the average investor is very jaded with the market..It will not be time to get out until things are running really hot..we are not even tepid yet..well ,we are in places..I mean look at the rise of XRO for proof…lots of industrials running super hot…so time to look at resources…

Zombieland heading for all time highs..DAX already is..FTSE soon will be..Dow at all time highs…we could explode here if big resources take off..I suspect they will China growing at 7.8% now and Japan growing strongly too..we had the correction I talked about ..only got to 5150 ..and now here we are at 5400..

Commodities up ,Gold up,equity marlets up..SPI up 38 …let’s hope the market is the only thing hot today and not the Black and Blue Mountains!!Stay safe out there and helmets off to the Fire fighterss for their commitment and bravery!!

Idea of the Day

Hope you all followed my advice with BHP(great result yesterday and up from 35 to 37 in a few days)…also good to see AGO on the move..more to come on all Iron Ore stocks…just need the AUD to weaken too.

Gold had another good night last night as the Tapering talk is now off the agenda..never gonna happen..or at least pushed back to March!!the Easter Bunny and Tapering come togther.In this environment the good old golds should improve…now SLR have been a dog..management have shredded investor patience ,shredded credibility but maybe just maybe it’s worth a look..trading around its lows…at the recent Gold symposium I was on the panel with Ric Rule..legend..anyway he said that the best managed Gold stock…’in the world’ (said like Jeremy Clarkson) was RRL…

Things to make me go mmmmm!

One of the latest ads for Obamacare….

Thanks to the guys at http://www.zerohedge for this one.

And whilst we are on the US ,there was a disturbing report on Foreign Correspondent last night..click here for the transcript..but the rich get richer and the poor are really struggling..Middle class is gone for all money!$2.13 an hour for hospitality workers!!!!!We are so lucky here!!

“Most Americans have seen their incomes stagnate or fall since 2008. In fact, if you look in the middle, the average typical American income today is lower than it was say 15 years ago. Median income of a full-time male worker today is lower than it was 40 years ago.” PROFESSOR JOSPEH STIGLITZ Economist, Columbia university.

BHP Billiton, Rio Tinto: The iron ore investment boom in WA is set to roll on, with more than $US10 billion ($10.35bn) in new investment by global giants BHP Billiton and Rio Tinto on the cards. Expansion expectations around BHP’s Pilbara operations escalated yesterday in response to the group’s stronger-than-expected September production report and commentary from CEO Andrew Mackenzie, which followed recent messages by Rio that it would approve its own $US5bn-$US6bn expansion next month, reports The Australian.

This one will fly…might be an idea to apply for shares in the IPO …Freelancer:, Online job marketplace, has snagged Seek co-founder Andrew Bassat and Sydney fund manager Caledonia Investments as early takers in its $15 million public listing. Freelancer CEO Matt Barrie said it was “fantastic” to attract investors who had experience with technology companies.

And in not such good news Mirabella Nickel Shares suspended; co. said it missed interest payment on debt.

Like this one and have talked it before.. Oil Search: has delivered a strong third-quarter production report and, more importantly, confirmed the company-changing $US19 billion ($19.7bn) Papua New Guinea LNG plant is 90 per cent complete and on track for first exports next year.

Worth watching too ..maybe it’s time to get set ….Sundance SDL,is to pull in $40 million from a convertible note issue to commodities trader Noble and a consortium of resource equity funds to keep work ticking over at its planned $US4.7 billion ($4.8bn) stage-one development of the Mbalam-Nabeba iron ore project that straddles Cameroon and the Democratic Republic of Congo.

Joe Hockey has done his Oliver impression…more!$500bn is now going to be the new mastercard limit…of course just because you have a big credit limit doesn’t mean you spend up to it do you..well do you? I know I manage my finances with fiscal responsibility every day ..that is until I see a good looking guitar or get the Tequila bug! Let’s hope Joe is better at it than me!

Good to see that the Chairman of Southern Cross has done a media relations course…what a quote after talking about the death of the Nurse in the UK following the prank phone call….give the man a pay rise and some more in the money options!!

Gotta love the French..they are desperate to tax everything..they have even taxed high energy drinks,pensions,corporate surtax…..  and now.. this is priceless..In one of the most absurd tax propositions in history, the French government now has the idea that they should tax data transfers outside the European Union.Should ensure the country exodus to London continues.And who can blame them..

Bob Carr announces his retirement…there is a silver lining to Abbott winning power after all…

Federal reserve turns 100 soon…18 recessions or depressions on their watch…not a bad record!

And finally…..

A newlywed couple wanted to join a church. The pastor told them, “We have special requirements for new parishioners.  You must abstain from sex for an entire month.

The couple agreed and, after two-and-a-half weeks, returned to the church.

When the Pastor ushered them into his office, the wife was crying, and the husband obviously was very depressed.

“You are back so soon…Is there a problem?” the pastor inquired.

“We are terribly ashamed to admit that we did not manage to abstain from sex for the required month,” the young man replied sadly.

The pastor asked him what happened.

“Well, the first week was difficult; however, we managed to abstain through sheer will power. The second week was terrible, but with the use of prayer, we managed to abstain. The third week, however, was unbearable.

We tried cold showers, prayer, reading from the Bible, anything to keep our minds free of carnal thoughts.

But one afternoon, my wife reached for a can of paint and dropped it. When she bent over to pick it up, I

noticed that she didn’t have panties on and I was overcome with lust and I had my way with her, right then and there,” admitted the man, shamefacedly.

“You understand this means you will not be welcome into our church,” stated the pastor.

“We know,” said the young man, hanging his head.

“We’re not welcome at Bunnings anymore, either.

Have a great day…catch me on the early morning Sky Biz tomorrow at 6am!!! Stay safe out there peeps…its gonna be a hot one..

 Clarence

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