Aussie market continues to move up on better Iron Ore prices and short covering despite benign global market leads. The market has returned to the highs it reached three times before in the past two months. The global macro worries, currency wars and better than expected domestic data continues to put doubt on a May rate cut. We still struggle to see the index break above the 6000 mark without the rate cut. The Turnover was just above $5.2b. Short covering was again feature of the market outside resource sector. We continue to see this as the fourth opportunity to take profit with risks rising. MTU set the cat among the pigeons by counter bidding on IIN. Everyone in the market knew that TPG bid was timely given the recent IIN downgrade, but MTU was not expected to move so fast after recent acquisitions. The TMT sectors are all ripe for M&A as the industry is too fragmented to deliver economies of scale with our relatively small population size. (VIEW LINK)