Morning sports fans,
Last night we got a small wobble on overseas markets as German IP numbers came in underwhelming and we head in to US reporting season…Alcoa kicks off as usual tonight…It had better be good..also rearing its ugly head was the prospect of higher interest rates…seems Goldman Suchs has brought forward their time frame for a rate rise in the US..if the US growth in jobs story continues the Fed will be forced to raise rates and then the game is up….talking third quarter 2015 but I reckon it will be this time next year(or maybe sooner)…when this happens the free money game will start to unwind…the biggest trick the Fed is going to pull is exiting its money pumping strategy by September and trying to manage the transition…this is going to take some doing…expect more volatility…risk insurance is cheap still…use it!!
Interesting chart from www.zerohedge.com….. makes you think?
Yesterday we went nowhere despite a Monday merger madness day with WTF being bought by Expedia and Aristocrat buying VGT in the US …I remain cautious…banks as usual have been driving the market combined with the iron ore stocks like RIO and BHP bouncing..Expect some more wind to flood out of our sails today but 15 pts maybe…nothing to damaging and volumes to remain low as its school holidays..has everyone gone to Europe..does seems so…so why am I still here?
As we head into the second half of the year the rate rise speculation will grow to a roar…
Idea of the Day
Graphite is all the go at the moment..Lamboo(LMB) has agreed to a merger with a private Chinese company and Triton Minerals (TON)has soared following good results in Mozambique…now minnow SER has a 13% stake in another Grahite/Graphene hopeful Valence Industries..valued at about 8m..SER has rallied strongly but suspect more to come…6 cents is very possible..one for the punters…but could be fun…only capped at $15m
I remember not so many years ago that rare earths were the hot stocks …now its graphite…still like LYC..
Things to make me go mmmmmm!!!
Samsung has just posted a worse than expected $7.1bn profit…all say ah…
Clive Palmer seems to have put a serious dent in the Federal Budget ..reports its $9bn… torpedoing Coalition plans to abolish the Schoolkids Bonus, the low-income superannuation contribution scheme and a bonus for welfare recipients.
AWE has come up with water rather than oil in its latest drill result at Oi…
GEM has bought 19 new child care centres for $25.7M under 4 EBITDA…good stuff..still like Affinity as a baby GEM…
Aristocrat was overwhelmed with bids for its insto placement to fund its US acquisition…final price around $5.26…shows strength..wait until they start selling….all that FOMO..
Southern Israel is bombarded with Hamas fired rockets as violence escalates…Ukrainian look to be getting the upper hand with the Russian separatists…ISIS gone quiet..
World Cup Football back tonight…yay…Brazil /Argentina final!!
Over in Spain a wireless company Gowex worth over $2bn one day..gone the next, as the CEO admits he has been lying about the numbers for four years…gotta love audited accounts!!
In case you thought this was a one off. CYNK Technology Corp, a listed company that has a market capitalization in excess of $1 BILLION has, according to official filings, one employee, no website, no revenue, no product, and no assets. Its a social media management biz…
The VIX in the US slumped to its lowest level since Feb 2007 last week and then bounced 10% to 11.3 last night..Small caps got trashed!! The Russell 200 down 1.5%…
Uber has started slashing its fares in NYC to compete with Cab drivers!!!Down 20% so hardly cheaper than a yellow cab…And a few new kids on the block..beginning of the end?…Can’t quite work out this then..the cost of a taxi licence in New York!!!best performing asset!!
Miley Cyrus has now got a tattoo of her dead dog on her side!!!her dad must have an “Achey breaky heart” !!
An Irish Miracle
Murphy drops some buttered toast on the kitchen floor and it lands butter-side-up.
He looks down in astonishment, for he knows that it’s a law of nature of the universe that buttered toast always falls butter-down.
So he rushes round to the presbytery to fetch Father Flanagan.
He tells the priest that a miracle has occurred in his kitchen.
But he won’t say what it is, so he asks Fr. Flanagan to come and see it with his own eyes.
He leads Fr. Flanagan into the kitchen and asks him what he sees on the floor.
“Well,” says the priest, “it’s pretty obvious. Someone has dropped some buttered toast on the floor and then, for some reason, they flipped it over so that the butter was on top.”
“No, Father, I dropped it and it landed like that!” exclaimed Murphy
“Oh my Lord,” says Fr. Flanagan, “dropped toast never falls with the butter side up. It’s a mir….
Wait… it’s not for me to say it’s a miracle. I’ll have to report this matter to the Bishop and he’ll have to deal with it. He’ll send some people round; to interview you, take photos, etc.”
A thorough investigation is conducted, not only by the archdiocese but by scientists sent over from the Curia in Rome. No expense is spared. There is great excitement in the town as everyone knows that a miracle will bring in much need tourism revenue.
Then, after 8 long weeks and with great fanfare, the Bishop announces the final ruling.
“It is certain that some kind of an extraordinary event took place in Murphy’s kitchen, quite outside the natural laws of the universe. Yet the Holy See must be very cautious before ruling a miracle. All other explanations must be ruled out.
Unfortunately, in this case, it has been declared ‘No Miracle’ because they think that Murphy may have buttered the toast on the wrong side!”
Have a great Tuesday
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