Sunset Strip | Aussie market finished flat despite negative global lead and China growth downgrade

Sunset Strip | Aussie market finished flat despite negative global lead and China growth downgrade. Turnover was just below $6.6billion. RBA board member again re-iterated rate cut was there if needed and the last one was due to no positive signals from the economy. Now sure if I agree with RBA keeping that logic over the past 12mths. As we expected China has started the multi-year downgrade of the GDP growth outlook down to 5-6% in 2-3 years. Now the market will have to start thinking about not getting a rate cut for a few months and will the market multiples be supported if that happens? Risk remains. The Inter Generation Report was a political spin to justify the budget move, but if the government can't even sell savings to their own backbench, what are odds of them selling it to the swinging voter? Probably more chance of Germany handing out free cash to Greece. Market has been running on yield chase while the market forward div yield to bond yield gap has narrowed below 2%. (VIEW LINK)