Aussie market finished well after getting hit with APRA’s move on banks on top of a flat global lead. SHL was hit on profit guidance showing that domestic consumers are not spending even on health care. There are no real surprises here as PRY result last week showed that this was the trend. This sets a very bad trend for any consumer related stock. DUE bid on ENE flags that the utilities space looks fully valued and corporates are taking advantage of the strong share price to M&A. Gold stocks got hammered on China selling, but we see this as a buying opportunity with global macro to remain relatively high and inflation likely to come back as currencies start to fall substantially. The big positive today for the market is that APRA move did not take down the big four banks. There are a lot of US and domestic macro out this week…Stay nimble!!! (VIEW LINK)
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