Mike (007) Smith seems to have delivered this morning with good results out of ANZ and as predicted cost cutting, less bad debts and some overseas growth helping things along. Everything firing on all cylinders! The World is not enough!
Highlights…ANZ Bank has lifted cash earnings by 11 per cent to $6.49 billion and will pay shareholders a bigger than expected dividend. In a result that beat analyst forecasts, the bank today said cash profits were $6.49 billion in the year to September. It will pay a fully-franked final dividend of 91 cents a share, taking total distributions for the year to $1.64, a 13 per cent increase.
4.9% dividend yield fully franked peeps..first cab off the rank will set the tone for what is the driving force in our market. Expect this to underpin the banks and the market…this gives bulls another reason to buy the banks..don’t stand in their way..onwards and upwards.
Anyway last night the overseas markets stalled a little as we await more news from the US and the storms in Zombieland to pass. London was hit pretty hard but memories of 87 seem a little overblown…
We had a stunning day yesterday much more than I had thought possible as the banks led us ever higher..my 5600 by Xmas is looking a little easy at the moment..especially as ANZ have delivered..
Idea of the Day
Some time ago (5th August) I wrote in this morning rant about a small stock called Adslot (ADJ) which I though was going places..well they have ..nearly tripled since I wrote them up..hope some of you bought some through Comm Sec or Etrade as no one listened I suspect…
As the market moves higher it is hard to find bargains…I have to move down the risk scale to smaller capped stocks..but at the moment momentum is very bullish..we have risen nearly 300 points in 2 weeks!!!5.6%!!!Remember the Trend is your friend!
In big ones ..like BHP,RIO,BEN to play catch up..AMP even…small stocks I like some of the golds like SLR and BDR for recoveries..I also like AGO for Iron Ore exposure..in small oil stocks like KPL and PRL..and in the same vein as ADJ..we saw MKB last night..interesting ..they provide communities for colleges and sporting groups in the US to interact with on their smart phones…some good deals signed in the US and exclusive..they flog ads on the sites…has run hard recently but suspect there is more to come…very speculative buy !
Things to make me go mmmmm!
The big news this morning is that Kevin Bacon and Bradley have been found living in Victoria…Kevin is a pig and Bradley is a lamb, kidnapped from a café in Sydney and found 500kms away in country Victoria…should make a film of this one…
Bendigo and Adelaide Bank: chief Mike Hirst has lashed rules he says force the bank to compete with “one hand tied behind our back”, urging the government’s planned financial system inquiry to address the impact of regulation on pricing.
Cooper Energy: has come under the takeover spotlight after Beach Energy revealed it was behind last week’s heavy buying in its fellow Cooper Basin oil and gas producer. Beach said that it had no “current” intention to bid. “From time to time Beach makes investments in other oil and gas companies as has been evident in the past.
Back on this day in 1929 the Dow had a bit of a dip and thus kicked stared the Great Depression…not sure it was that Great..not for most people…one of the big reasons for the Dow Crash was the amount of leverage and margin in the system..when it cracks it becomes a panic for the exits..one thing that gets overlooked is after the crash the yield on the Dow was 14%..value indeed..
Apple released its numbers and got crunched after hours..headline looked pretty good but the cash pile dint grow that much and Tim Cook did talk down the numbers for next quarter.The bad news in the announcement is sales of iPads was a little worse than expected and the margins were down ..isn’t that what Apple wanted as they introduced cheaper products like the colourful iPhone 5 C …stock down 4% after hours..
From my friends at Bloomberg.. Fewer Americans than forecast signed contracts to buy previously owned homes in September, the fourth straight month of declines, as rising mortgage rates slowed momentum in the housing market. The index of pending home sales slumped 5.6 percent, exceeding all estimates in a Bloomberg survey of economists and the biggest drop in more than three years, after a 1.6 percent decrease in August, the National Association of Realtors reported today in Washington. The index fell to the lowest level this year.
Not sure why this is significant but Ten-year US Treasuries are moving 0.024 % for every 1% change in the Standard & Poor’s 500 Index (SPX) in the same direction, the first time that’s happened since July 2007, based on a risk measure known as beta. Prior to this month, the gauge averaged minus 0.12 over the past decade, meaning that bonds have historically moved in the opposite direction.
Uncle Ben’s Fed turned over a profit of $88.4 billion last year. Not too shabby! One months QEIII
This is the Google index of unemployment which tracks searches for jobs, food stamps and other related topics..doesn’t look like the free money from the US is ending anytime soon!!!Easter perhaps for Tapering..apparently I saw on social media that Sarah Palin suggested that Jesus celebrated Easter too!!!
courtesey of http://www.zerohedge.com
As the Sydney property market continues at a Formula 1 style pace, it has been reported that 5 year old are now being bought houses by their parents!!!Investor appetite for houses from SMSF and overseas punters is running white hot.
Good to see that now China has condemned US spying activities..bit rich coming from them but maybe it’s time to change Obama..leading snooper of the free world….Europe not happy!!French Fries withdrawn from Mc Donalds restaurants!
The Rebecca Brookes phone hacking trial has started in London….should be fun to watch…
Maybe another bidder is about to enter Cheese wars as Fonterra has appointed advisers Reunion Capital Partners. This one will run and run…
Why is Eddie Obeid not in Jail…
Seems the boys at NINE are going to tighten up the proposed float before Xmas as the incumbents looks to issue only $450m worth of shares and keep their ownership level pretty high..guaranteed to squeeze the price up!
And on IPOs, Yuma Energy US shale gas hopeful, will launch a $300 million IPO before the end of the week. Privately-held Yuma Energy, based in Houston, is looking to raise up to $150 million to list on the ASX.
An Arab Sheik was admitted to Hospital for heart surgery, but prior to the surgery, the doctors needed to have some of his blood type stored in case the need arose.
As the gentleman had a rare type of blood, it couldn’t be found locally, so, the call went out.
Finally a Scotsman was located who had the same rare blood type.
The Scot willingly donated his blood for the Arab. After the surgery, the Arab sent the Scotsman, as appreciation for giving his blood, a new BMW, diamonds & $100,000 US dollars.
A couple of days later, once again, the Arab had to go through a corrective surgery procedure. His doctor telephoned the Scotsman who was more than happy to donate his blood again.
After the second surgery, the Arab sent the Scotsman a thank-you card and a box of Quality Street chocolates.
The Scotsman was shocked that the Arab did not reciprocate his kind gesture as he had anticipated.
He phoned the Arab and asked him: “I thought you would be generous again, that you would give me a BMW, diamonds & money, but you only gave me a thank-you card and a box of Quality Street.”
To this the Arab replied: “Aye laddie, but I now have Scottish blood in ma veins”.
Have a great day
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