Short term view on valuation grounds. Bullish consumer, bulk resources, industrials, insurance, Neutral banks, healthcare, telco, IT, energy, gold. Bearish property trusts \r Long term on structual themes - Bullish banks (GDP+ growth), insurance (rising rates), IT (becoming a business staple), healthcare (aging population), consumer (improving confidence), industrials (economic recovery), telco (shift to video communication and downloads). Neutral bulk resources (plateauing China growth), property trusts (rising rates), energy (shale gas replacing oil). Bearish gold (rising cost of carry and reduction of risk premia),
AUD strength a headwind for exporters, but an Australian domicile business such as IAG should be left largely unscathed. Bushfires may create small catastophe expense. Much greater benefit from increased earnings from higher rates. IAG has strong margins on their gross written premium to boot.