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Morning sports fans,

Another day in paradise.Well not so much of a paradise for Iron Ore stocks which are getting absolutely belted as Iron Ore looks destined to go beneath $70 and maybe even get to $60…if it got to $60 I think even Gina would be squealing…at the ned of the day with the big three producers pumping out dirt in record quantities and the Chinese economy slowing rapidly it is hardly surprising that it is where it is…I am puzzled why the giants have not started cutting production but they must have a plan!!



Anyway another sloppy day ahead after the falls of the last few weeks…volume has been low as many players have their money now tied up in the Medibank Public Chocolate wheel…this is unlikely to change and the market looks like it wants to test that 5200 5150 level again..resources are struggling,miners are being avoided like an Ebola victim,banks set to drift lower on Murray concerns and industrials are hardly making great strides as the economy continues to wilt under confidence woes.

Idea of the Day

I was invited yesterday to a lunch for the guys at the Indoor Skydiving…IDZ is the code..the two men behind this facility in Penrith are very impressive ex SAS guys who plan and execute really well.They are SAS after all! The Penrith centre is going great guns in its first 7 months and surpassing expectations…so much so that they are now opening one on the Gold Coast and have just done a deal on the location of one in Perth…so by the end of 2016 they will have three facilities up and running across Australia and probably more..the guys are equity funding the expansion by a capital raising at the moment at 50 cents..new instos on the register and now looking at expanding into Asia…Now Indoor Sky Diving I hear you ask?Least I hope so…having been a guest at Penrith its great fun…and more importantly a growing sport and the military are big users of the centre as its way cheaper than the real thing…have to say I like this story a lot..I liked it to be fair at higher prices but the capital raising has brought them down to earth a bit..here they offer much better value and the present situation presents a good opportunity to get on board..the stock is thin and not highly traded so hard to buy but well worth a look for this  interested in small caps..

Things to make me go mmmmm!!!

Yesterday ANZ suspended 7 FX traders pending an investigation into market rigging…we have been lucky here in Australia that the scandals have so far bypassed our banks..maybe not for much longer…heavy fines have been the go so another negative for the banks looming perhaps.

Chinese inquiries about real estate investment in the United States surged 35 percent this week after the two countries agreed to extend the terms of short-term visas.This is after the White House announced this week that both countries have extended the terms of multiple entry short-term tourist and business visas to 10 years from one year. Student visas were extended to five years from one year.

Fed minutes last night…three big themes emerged …hardly surprising really…”inflation rate”, “economic policy”, and “market conditions” – all of which overshadow words like “growth” and “jobs” and “employment”.The Fed also doesn’t seem at all phased by the global growth outlook and is purely internally focused.They are Americans after all and probably don’t even know where Europe is….

James Hardie has recorded a sharp lift in second quarter profit, despite admitting the recovery in the US housing sector has not been as strong as it tipped at the start of the year. In the three months to September 30, James Hardie delivered a net operating profit of $US127.2 million ($145.7m), a sharp increase on the previous corresponding quarter of $US51.9m.

Busy time at the moment with all the floats coming down the track…they are even trying to dress up Godfreys to sell…hoping maybe that the public will hoover them up perhaps..are these the daggiest shops ever..I mean really a whole chain of shops selling vacuum cleaners..there are Dyson with death if you ask me…

Good to see ayer another election promise broken…ABC and SBS…but the commercial networks are now massively offside too as SBS will be allowed adverts for 10 minutes an hour in prime time..eating their lunch and then yesterday it was announced that Netflix is coming…hard for these guys to turn a trick really …TEN better get its skates on or there will not be anything left to sell to private equity…

US small caps are now down for the year!

I was out last night for dinner with my son to send him on his way…god things are expensive…just buying a round of drinks in a trendy bar takes your breath away…two pints and a glass of wine in 4 Pines in Manly $30!!And it was house wine too!!Beer was good..better than juice but its hardly a wonder our kids take drugs..they are so much cheaper!!And don’t get me started about Crinitis in Manly!!Food great ,service absolute shite!!Still they all looked really fabulous with their trendy beards and tatts so maybe that is the main in thing!

And finally…I have been set a challenge by a good friend of mine to come up with a North Korean joke today..so this one is for you Prycey….

“You know who they haven’t seen in a while, Kim Jung Un, evil dictator of North Korea. They haven’t seen him in, like, six weeks. He’s probably spending more time executing his family.”

At an art museum in Europe, an Englishman, a Frenchman, and a North Korean stand before a painting of Adam and Eve holding an apple in the Garden of Eden.

The Englishman says: “The man has something tasty to eat and is eager to share it with the woman. Based on that, I would conclude that they’re rather obviously English…”

The Frenchman says: “I disagree. They’re walking around entirely naked, so they must be French…”

The North Korean says: “There is no doubt in my mind that they’re North Korean. They have no clothes to wear, barely anything to eat, and they still think they’re in heaven!”

Have a good Wednesday