Mathan Somasundaram

Sunset Strip | Aussie market continued the positive sentiment and delivered a small positive in line with US markets. We continue to feel that RBA is currently trying to curb asset prices (i.e. house prices, equity markets etc.) with inflation under control, so that they can cut rates in mid-2015 to stimulate a stagnant domestic economy. Interesting stock of the day was VED with PEP supposedly wanting sell out of their stake last night and then deciding to hold on. The stock is now under selling pressure and unlikely to see any big marginal buying support till we have clarity on the overhang. Medibank Private IPO will drive some selling in the healthcare and insurance sectors as funding source...may open up more value...keep your eye open for quality stocks on a bargain. Another sector worth looking as a short term trade on technical is gold equities....spot gold above $1240...preferred players GOOD - NST, BAD - BDR and the UGLY - NCM. Trading idea of the day: CarSales.com (CRZ). Tuesday's Retail Therapy Pick: Woolworths (WOW). (VIEW LINK)



Comments

Please sign in to comment on this wire.