bgl

Mathan Somasundaram

Aussie market started positive and then went on a rampant short covering run to deliver a strong positive finish after a weaker than expected unemployment data . The bounce was mainly driven by Oil recovery. Non OPEC players showing signs of working towards a deal with OPEC to first freeze... Show More

Mathan Somasundaram

Aussie market started negative on market uncertainty before the shrinking bond yields pushed up the yield trade to deliver a solid positive day. Global markets went into last night with everyone wearing their “chicken little” suits screaming the “sky is falling”. The global markets were jumping on shadows. US Fed... Show More

Mathan Somasundaram

Aussie market started negative and clawed back to positive territory on the back of strong commodity prices overnight and Asian markets holding. Now that we are past the US Fed problem for another month and a half, the markets will pay more attention to the result season in the US.... Show More

Mathan Somasundaram

Aussie market opened negative with global markets before recovering some losses. The market gave most of the China bounce form yesterday to the US fall today. Tomorrow is Friday and investors will not be willing to make big bets on a Friday with heightened market worry. The market worry is... Show More

Mathan Somasundaram

Aussie market opened negative with US markets before the Chiquities debacle made the global investors take down the Aussie market as the whipping boy for China. The day started with US markets falling over on weaker than expected growth outlook as the positiveness from lower cost of borrowings and oil... Show More

Mathan Somasundaram

Aussie market delivered another positive day despite global investors selling on currency and market strength. The low turnover day like today was caught between optimistic local investor and pessimistic global investor. The last 3 years of daily returns will tell you that there is less than 3% probability of getting... Show More

Mathan Somasundaram

Aussie market made another remarkable recovery to follow up Friday’s effort to remain again on a thin edge positive when US markets are nearly down 3.5% in two days. The US markets were expected to have a pullback short term as global business models that dominate the US indices are... Show More

Mathan Somasundaram

Aussie market made a remarkable recovery on a Friday to close very slight positive after being down as much as 1.5% in the morning. The recovery was made even more positive given the big line of TCL that needed be funded was adding to the selling pressure. Notable moves today... Show More

Mathan Somasundaram

Aussie market ran over pessimist with another 1.5% move up on US Fed doing what most of us expected them to do. The world is artificially being held down to low growth and low inflation to avoid any recession risks by central banks and governments. The problem with that solution... Show More

Mathan Somasundaram

Aussie market recovered from early losses after the weak economic growth rate drove rate cut outlook. The global risk at the moment is multi facet with China and US leading the pain factor. Why are we positive (1) market back to long term fair value multiple support level it has... Show More

Mathan Somasundaram

Aussie market started flat and trended down before getting hit by domestic growth scare with current account deficit blowing out and global growth scare with China PMI falling again. China continues to support their equity market while putting restriction on speculation trading on Yuan. The market remains spooked with Chinese... Show More

Mathan Somasundaram

Aussie market broke the four day positive trend to deliver a negative day to finish the worst month since GFC. There are media articles saying that Chinese government has put together 100b Yuan to buy back shares on the market while arresting Citic employees on rumourtrage. This moves once again... Show More

Mathan Somasundaram

Aussie market delivered fourth straight positive day on the back of global optimism that China is taking the right steps forwards. We turned cautiously positive when the market opened up with a big sell on Tuesday and the market fell to long term fair value. This valuation support level has... Show More

Mathan Somasundaram

Aussie market delivered third straight positive day as DOWJONES popped over 600 points (i.e. 3rd best day ever!!!). We turned cautiously positive when the market opened up with a big sell on Tuesday and the market fell to long term fair value. This valuation support level has held for the... Show More

Mathan Somasundaram

Aussie market delivered another positive day despite futures pointing to a negative day at the open. As we wrote on the “Morning Strip”, we expected the negative day to turn positive as market started to look past the short term worries and paid more attention to long term dynamics in... Show More

Mathan Somasundaram

Aussie market surprised everyone with a short covering recovery to finish on a strong positive despite the early morning selloff. The global unknown is the growth rate of the Chinese economy. Global sentiment improved today as PBOC tried to calm markets down confirming their growth outlook views while leaving the... Show More

Mathan Somasundaram

Aussie market ran into global selloff sentiment on China worries. The big negative global sentiment was further fuelled by the lack of any PBOC action to stimulate the economy or support the equities markets. Chiquities or Shangbang was down 8% and looks well on the way to seeing substantially more... Show More

Mathan Somasundaram

Aussie market got another day of working over by global investors getting out for currency worries. Aussie market is caught between global investor selling on currency worry and local investors buying for better yield. China growth worries will drive Yuan further down and that will hit Asian/Commodity countries. We are... Show More