Sunset Strip | Aussie Afternoon Institutional Market Wrap

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 the economy. The chart above shows that that market reached the fair value territory at yesterday’s intra-day low point. This valuation support level has held for the past 3 years and we see no reason why it will fail now. The market is now showing value and the risk/return points to buy time…quality yield stocks in low growth outlook will deliver over time…global investor pain can be local investor gain…stay nimble…we are seeing early signs of turnaround in Australian market!!! (VIEW LINK)