The key to blowing up a successful asset bubble is that you must constantly attract new money into the asset class you're trying to inflate. By that standard, yesterday's Australia's housing finance figures were better than expected but worse than required. The numbers were up. But new home buyers have not yet been bullied into the market by lower rates.
If you can't remember the definition of stupidity, events this week will refresh your memory. One popular definition of stupidity is repeating the same behaviour but expecting a different result, like pushing on a door that opens by pulling. A more current and topical one would be cutting interest rates 511 times in six years in order to raise growth and/or lower the unemployment rate.
Despite a stronger start to the session, the Australian market is slipping for the first time in six sessions. The All Ordinaries Index (XAO) is down 0.8 per cent or 44.1 pts to 5,158.4. Investors initially reacted to healthy gains from global sharemarkets overnight rather than Tuesday's federal budget, however the rise was short lived with most sectors turning negative about one hour into the session.
While China continues to wrestle H7N9 which had so far claimed 35 lives, it has succumbed to yet another subtype of the Influenza A viruses, this time the H5N1. The country had reported an outbreak in its southern part Tibet, where a child has died and 64 other children remain infected.
Lakshimi Mittal, owner of the world's largest steelmaker ArcelorMittal, has urged Europe to erect trade barriers to protect its manufacturers, claiming the future of the European Union manufacturing depended on politicians helping the industry face what he said was unfair competition from China, reported the Financial Times on Sunday.
After a tragic construction disaster in Bangladesh, European retailers, including H&M and Wal-Mart, signed the Bangladesh safety accord which will introduce measures aimed at boosting safety conditions in garment factories, taking a step to securing lives of workers. Undeniably, unions had a big part in pushing the European retailers to take action in improving workplace safety at Bangladeshi garment facilities.
On Tuesday, Saudi Arabia added six new cases of the SARS-like novel coronavirus in its Eastern Province, where two of those infected were hospital healthcare workers, immediately creating anxieties that hospitals are no longer even safe places to go to in times of medical distress.
Guide:The Short Report draws upon data provided by the Australian Securities & Investment Commission (ASIC) to highlight significant weekly and monthly moves in short positions registered on stocks listed on the Australian Securities Exchange (ASX).
By Greg PeelThe Dow rose 123 points, or 0.8%, while the S&P gained 1.0% to 1650 and the Nasdaq added 0.
By Stephen Hogan, Senior Private Client Adviser, Equities/DerivativesAustralian MarketThe Australian market (XJO) closed down -29.
For a second day local stocks ended higher with a small yet unconvincing gain. Whilst the Federal Budget dominates the national media discussion at present, the reality is that the impact on prices will likely be modest if at all.
Will the state of federal finances have any effect on the battling Australian dollar? A Friday article by Fed mouthpiece John Hilsenrath in the Wall Street Journal floated the idea that the Fed is looking for ways to wind down its $85 billion per month in QE in a way that doesn’t crash stocks or disrupt order in the financial markets.
The restructuring spree of HSBC Holdings Plc is likely to continue as the European bank aims to improve its performance. It is widely speculated that HSBC CEO Stuart Gulliver will inform about further downsizing and sales of some assets on the 15th of May. Investors expect to hear that a 3-year restructuring plan has started bearing fruits.
Nissan Motor Co. surprised with it net profit growth of staggering 46.1 percent for the fourth quarter. But the fact is that the Japan's carmaker did not show off its annual profit which was simply plane, compared to its home rivals. Certainly, the weakening yen significantly helped Nissan Motor Co. and other Japan's companies enjoy stronger performance.
Australian shares are slightly firmer at lunchtime in the East, following a mixed offshore lead and ahead of the release of the Federal Budget in Canberra tonight.
France, a nation where people mostly spend their free time visiting museums and attending art events, wants to tax smartphones and tablets manufacturers, specifically Apple, to fund its cultural passion.
Android 4.3 Jelly Bean and Android 5.0 Key Lime Pie may be launched on the same year and eventually be pushed to several devices. Android 4.3 is speculated to appear in Google I/O event with the New Nexus 7 running it and Android 5.0 for several Galaxy devices including Galaxy S3, S4 and Note 2.
Three weeks after and more than 1,000 lives lost, Bangladesh's more than three million garments workers scored a victory when major international clothing retailers such as Zara and H&M, among others, agreed to fund safety upgrades in the country's factories where they source their products.
Google's continuous introduction of several revenue sourcing ideas bodes well for the company's valued shareholders. Already analysts are predicting a thousand dollars per share by next year and are advising to buy in now while stocks are still relatively low.
By Alexander Green, Investment U Chief Investment StrategistIn Friday's column, I laid out what I believe is the greatest threat facing financial markets today: the propensity of national governments to tax, spend and regulate too much.
By Andrew NelsonThe spot uranium market crawled along last week, with a handful of trades and a fairly small amount of product changing hands.
By Greg PeelThe Dow closed down 26 points, or 0.2%, while the S&P closed flat at 1633 and the Nasdaq was also as good as flat.
Gina Rinehart, Australia's richest person, just added more money to her wealth. On Friday, she and another female billionaire were awarded $200 million after they won a lawsuit against Rio Tinto (ASX: RIO).
The Australian share market closed only slightly higher on Monday, despite strong gains offshore on Friday night which saw European markets reach five year highs and US markets close at record highs.
Apple has recorded a modest 6.7 growth for the first quarter of 2013 making it the lowest ever level since the iPhone's introduction in 2007. Of the total 216 million global shipments made during the period, 76.6 percent was accounted to Android devices of which Samsung is reportedly the market's top manufacturer.
The death toll due to the new SARS-like coronavirus has reached 15 lives in Saudi Arabia. France, on the other hand, has reported its second infection which was believed to have contracted through human-to-human transmission.
It took factories to collapse and more than 1,000 lives dead before Bangladesh even considered hiking the minimum wage pay of its more than three million garment workers. Too late a hero, skeptics said.
The Australian sharemarket is flat after a slightly weaker start this morning. The All Ordinaries Index (XAO) is down by just 0.3pts to 5,190.8. A fall in the business conditions survey reading has been keeping stocks subdued. Last week however, the local market rose by around 1.68 per cent, making it three straight weeks of improvements.
In few more days the Google I/O event will take place and leaks about Android 4.3 Jelly Bean keeps spilling as it kicks out Android 5.0 Key Lime Pie from the picture while the next generation Nexus 7 2 reveals Android 4.3 Jelly Bean and Snapdragon processor with possible debut in the upcoming event.
With just two days to go before Google's I/O developers' conference opens on Wednesday, May 15, all indicators point to a longer wait for Key Lim Pie OS would-be fans.
