Sunset Strip | Aussie market continues to defy the pessimist and remained flat despite the lack of global sentiment that usually leads to Friday profit taking

Sunset Strip | Aussie market continues to defy the pessimist and remained flat despite the lack of global sentiment that usually leads to Friday profit taking. Aussie market was slightly negative 0.08% with turnover was just below $6.1b. Pessimist or Optimist, market is always right. As the market keeps steam rolling over each macro worry and geo political risk, more and more pessimists are converting to atleast neutral stance. The market pundits are mainly negative, but the M&A cycle and positive reporting season should bring them around. We continue to feel that corporate earnings will be close to expectations (i.e. no Valley of Death) while low interest rates are likely to drive M&A cycle sooner than later. Pick of the day is NextDC (NXT)... we turned positive on this stock after market update on 10th July around current level...we see this trading above $2 in the next 12 months. (VIEW LINK) (VIEW LINK)